In this paper a new fault tolerant control scheme is proposed, where only measured system outputs are assumed to be available. The scheme ensures closed-loop stability throughout the entire closed-loop response of the system even in the presence of certain actuator faults/failures. This is accomplished by incorporating ideas of integral sliding modes, unknown input observers and a fixed control allocation scheme. A rigorous closed-loop stability analysis is undertaken, and in fact a convex representation of the problem is created in order to synthesize the controller and observer gains. The efficacy of the proposed scheme is tested by applying it to a benchmark civil aircraft model. (C) 2013 Elsevier Ltd. All rights reserved.