Recent legal and regulatory developments have brought more certainty to the motor-finance industry. For example:
- The Financial Conduct Authority (FCA) announced it would consult on an industry-wide redress scheme for mis-sold motor-finance deals.
- A recent ruling by the Supreme Court of the United Kingdom narrowed the scope of lender liability for certain motor-finance commission cases — which has eased some investor/lender concerns.
Why this is good news: - When rules and liabilities are clearer, lenders and brokers can manage risk better — which may support more competitive finance offers for consumers.
- The market may see consolidation, innovation and improved service as uncertainty drops.