Commenting on the Supreme Court judgment on motor finance
commissions, Stephen Haddrill, Director General of the Finance
& Leasing Association, said:
“This judgment is an excellent outcome. It properly
reflects the role and responsibilities of dealers, lenders and
customers, and it has restored certainty and clarity to the
largest point-of-sale consumer credit market in the UK. In
addition, it has also restored confidence to the sector,
confirming that it remains a solid investable option – which in
turn means the supply of affordable motor finance will continue
for customers.
“Cars are an essential part of UK life – and for many
people, relying on a car means relying on motor finance. It's a
product that's trusted and valued by our customers – just over
80% of new cars are bought on finance, as is a large percentage
of used cars.
“The FCA now has the legal clarity to continue its work to
establish if a redress scheme is needed, and of course the
thousands of unfounded complaints submitted to lenders by
claimant law firms and CMCs can now be removed from the system.”
Notes to Editors
- In 2024, FLA members provided £155 billion of new finance to
UK businesses and households. £115 billion of this was in the
form of consumer credit representing almost a third of total new
consumer credit written in the UK in 2024.
- For media enquiries, please contact the FLA press office on
020 7420 9656.