Noel Edmonds secures funding to sue Lloyds Bank

Noel Edmonds has secured funding to sue Lloyds Banking Group after falling victim to a multi-million pound fraud a decade ago.

The TV star is seeking compensation of up to £60m over a scam involving staff at the Reading branch of HBOS, which was subsequently bought by Lloyds.

He confirmed he had secured a "seven-figure" sum from specialist litigation funder Therium to bankroll his case.

Lloyds disputes his claim that the fraud caused his business to collapse.

The former Deal or No Deal presenter is pursuing the banking giant over losses he claims he suffered when his former business Unique Group was destroyed.

Mr Edmonds welcomed the funding news as "massively significant" for him and other victims.

"It is a firm endorsement of my case; Therium do not take on a case where they think there's a chance of losing."

Therium, which helps fund lawsuits and then takes a portion of the damages if successful, is also behind a class action lawsuit against car giant Volkswagen over vehicle emissions.

Corrupt staff from the HBOS branch were jailed last year for a £245m loans scam between 2003 and 2007 which destroyed several businesses.

It was revealed they squandered the profits on high-end prostitutes and luxury holidays.

A spokesman for Lloyds said: "Lloyds Banking Group made determined efforts to reach a consensual resolution with Mr Edmonds through mediation late last year, but this was not possible.

"As a formal litigation process has begun it would be inappropriate to comment other than to say his claim will be contested."

Mr Edmonds said that after receiving a "derisory" compensation offer, he has been left "with no alternative but to start legal proceedings".

His solicitor, Jonathan Coad, has described the case as a "David vs Goliath" battle.

But Mr Edmonds insists he is still open to negotiation with Lloyds, saying "I don't want my day in court" after mediation talks broke down late last year.