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FCA faces four legal challenges to £9.1bn motor finance compensation scheme
En desarrollo
Business·01.05.2026Resumen IA

FCA faces four legal challenges to £9.1bn motor finance compensation scheme

The FCA is facing four legal challenges to its £9.1bn compensation scheme for motor finance scandal victims. Consumer group Consumer Voice and lenders Volkswagen Financial Services, Mercedes-Benz Financial Services and Crédit Agricole Auto Finance are contesting the programme, which would pay borrowers an average of £830 each for loans mis-sold through commission payments between lenders and car dealers from 2007-2024. The regulator said it will defend the scheme "robustly" as the "fastest, simplest route for consumers", but the legal actions create uncertainty for millions of borrowers and could delay payouts expected to begin this summer.

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Guardian Business
Consumer Voice launches legal challenge to FCA's £9.1bn car finance compensation scheme
En desarrollo
Business·22.04.2026Resumen IA

Consumer Voice launches legal challenge to FCA's £9.1bn car finance compensation scheme

Consumer Voice has launched a legal challenge against the Financial Conduct Authority's £9.1bn car finance compensation scheme, warning it leaves too many drivers short-changed. The challenge could delay payments to millions of customers who were overcharged through hidden discretionary commission arrangements banned by the FCA in 2021. The regulator defended its scheme as the quickest and fairest way to compensate consumers.

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BBC Business
Consumer Group to Sue FCA Over £9.1bn Car Loan Compensation Scheme
En desarrollo
Business·22.04.2026Resumen IA

Consumer Group to Sue FCA Over £9.1bn Car Loan Compensation Scheme

Consumer Voice is preparing to challenge the FCA in court over its £9.1bn compensation scheme for victims of the UK car loan scandal, arguing the average £830 payout per victim is too low. The group, partnering with Courmacs Legal, claims the regulator gave excessive weight to banks' concerns over compensation size rather than consumer protection. If filed before the April 27 deadline, it would be the first time a consumer group challenges the FCA over a compensation scheme in UK courts, potentially delaying summer payouts to millions of drivers.

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Guardian Business