NAB nearly out of MLC Wealth but the costs roll on
National Australia Bank (NAB) may be headed for the exit in terms of its ownership of MLC Wealth but it will continue to carry the costs of client remediation into the future.
The big banking group announced to the Australian Securities Exchange today increased provisioning for customer remediation to $380 million before tax which it said related to $245 million for “wealth related matters” and $135 million for “bank related matters”.
Hardly surprisingly, NAB also moved reporting on MLC Wealth into the “discontinued operations” column following the sale of the business to IOOF.
Outlining the remediation task, NAB’s announcement said that it covered “non-compliant advice” provided to wealth customers and adviser service fees paid to salaried advisers.
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