UK court dismisses lawmakers' case against FCA over bank redress scheme

LONDON, March 7 (Reuters) - London's High Court on Friday dismissed a legal challenge brought by British lawmakers against a financial watchdog over the scope of a 2.2 billion-pound ($2.8 billion) bank redress scheme related to interest rate hedging products.

The Financial Conduct Authority (FCA) faced legal action over its response to an independent review of the scheme, under which nine banks – including Barclays BARC.L, HSBC HSBA.L and Lloyds LLOY.L – agreed to pay compensation.

But the case, brought by Britain's All-Party Parliamentary Group on Fair Business Banking, was rejected by the High Court on Friday.