Woodford fund compensation for investors likely to total 77p in the pound

Takeover of frozen fund’s administrator and FCA ruling could filter extra £235m to 300,000 investors

The administrator of the failed fund run by the former star stockpicker Neil Woodford has agreed to pay up to £235m to help regulators compensate more than 300,000 customers who lost their savings after the fund collapsed.

The tentative deal – which will mean investors recover in total approximately 77p to the pound – follows an investigation by the Financial Conduct Authority.