Lancaster MP Cat Smith has written to the Chancellor of the Exchequer urging him to look again at delivering justice for Equitable Life policyholders.
More than one million people lost out as a result of the collapse of Equitable Life in 2000.
Following a report from the Parliamentary and Health Service Ombudsman which charted considerable regulatory failures the Government set up the Equitable Life Payment Scheme.
This scheme was limited in scope however and to date only around 22 per cent of total amount lost by victims has been repaid.
Ms Smith said: “Equitable Life policyholders have found themselves out of pocket as a result of absolutely no fault of their own. I am therefore troubled that the compensation paid to date is only a small fraction of the amount which they have lost.
“I have been saddened by stories I have heard of pensioners being forced to re-mortgage their homes in order to pay for the fall in their income as a result of the Equitable Life.
“This needs addressing quickly, it is estimated that 15 policyholders are dying every day. I very much hope the Chancellor will look again at this issue and treat it as a matter of urgency in his autumn statement.”