The FSA redress scheme pilot has looked at some 200 cases of mis-sold interest rate hedging products after the regulator found that a number of banks had mis-sold these products.

As part of the pilot, Barclays, HSBC, Lloyds and RBS reviewed 50 cases, which were assigned to an independent reviewer. According to the FSA, the exact nature of redress - in cases where it is deemed appropriate - will vary depending on a number of factors.

It could include a mixture of cancelling or replacing existing products with alternative products, as well as partial or full refunds of the costs of those products.

However, while the estimated 40,000 SMEs that were mis-sold swaps will be eagerly awaiting the publication, a report in The Sunday Telegraph has claimed the FSA's findings could be "watered down".

The article, which cites "a source familiar with government discussions over the issue", claims that there is a split within the Treasury between those who want "full and fair recompense for affected businesses" and those who fear such a scheme would "cost too much and blow a hole in banks' balance sheets".