Motonovo hikes motor finance provision as buyers circle Aldermore Banking Car finance firm Motonovo has ramped up its provisions for the motor finance scandal as top banks and private equity firms explore a takeover of its parent company Aldermore. The Cardiff-headquartered company recognised a £153.2m charge in its latest accounts for historical motor finance commissions. This was more than double the £60.6m recorded last year. [...]
Santander and BMW in High Court spat over motor finance dispute Banking Santander and Volvo are taking BMW to the High Court over a dispute related to motor finance deals, City AM can reveal. The Spanish banking giant, along with Volvo Financial Services, is claiming the carmaker caused damages after auto dealers unlawfully re-sold the same luxury vehicles to BMW, leaving both firms claiming ownership over the [...]
FCA ‘worked backwards’ to justify motor finance redress, say lenders Banking A trio of motor finance lenders have accused the City watchdog of “working backwards” to justify its redress scheme that is set to cost the industry billions. In new documents, Mercedes-Benz’s financial services arm, which has set aside as much as £400m in payouts for the car mis-selling scandal, said the Financial Conduct Authority’s (FCA) [...]
FCA boss takes aim at motor finance lenders and claims firms July 15, 2026 The boss of the City watchdog has taken a fresh swipe at the parties opposing the regulator’s motor finance redress scheme. Nikhil Rathi, chief executive of the Financial Conduct Authority (FCA), told the Treasury Committee that he was “concerned about the integrity of the claims management market” and took a shot at lenders for trying [...]
Motor finance war of words heats up as City watchdog blasts law firm’s motives July 8, 2026 A blistering war of words has broken out between the City watchdog and the firms leading the consumer legal challenge to its £9bn motor finance scheme. The Financial Conduct Authority (FCA) has urged the Upper Tribunal to throw out the case entirely as it slammed Courmacs Legal and its client Consumer Voice, for a serious [...]
Mercedes-Benz slammed for swerving payout for car with ‘serious safety risk’ June 29, 2026 Mercedes-Benz’s finance arm has been slammed by the UK’s banks ombudsman for “very poor” handling of a motor finance dispute where a consumer’s car showed “serious” electrical faults. The financial services arm of the German carmaker has been ordered to refund with interest 50 per cent of all monthly payments made by a customer after [...]
‘Very concerned’: City watchdog scolds motor finance lenders over £9bn redress scheme June 22, 2026 The City watchdog has warned motor finance lenders it is “very concerned” with how prepared the industry is to implement its £9bn redress scheme, City AM can reveal. The Financial Conduct Authority (FCA) fired out letters to over 100 firms last Friday following a review of the sector’s plans to implement its under-fire redress program. [...]
Banks ‘not ready’ for motor finance scheme, says City watchdog June 9, 2026 The City watchdog has warned that motor finance lenders are “not as ready as we would expect” for the introduction of its long-awaited redress scheme. Nikhil Rathi, chief executive of the Financial Conduct Authority (FCA), has written to the Treasury Committee following inquiries around the legal challenges to its car mis-selling scheme. The regulator published [...]
Motor finance compensation scheme hanging by a thread amid legal row May 8, 2026 The City watchdog has told lenders to prepare for the “alternative scenario of no scheme” in the long-running motor finance scandal as another legal showdown brews. The Financial Conduct Authority (FCA) has received four legal challenges including from lenders Volkswagen Financial Services, Mercedes-Benz Financial Services and Crédit Agricole Auto Finance. On the consumer side, the [...]
Mercedes Benz joins legal battle over £9bn motor finance scheme April 29, 2026 Mercedes Benz is confirmed to be among the four legal challenges lodged against the UK financial watchdog’s motor finance redress scheme. The financial services arm of the German car giant is set to challenge the scheme that puts the car finance industry on the hook for £9.1bn in compensation. The carmarker has thus far set [...]