FCA statement on Supreme Court motor finance announcement

The Financial Conduct Authority (FCA) has issued a statement regarding the Supreme Court’s decision to hear an appeal on three motor finance cases involving Close Brothers and FirstRand Bank. The FCA is considering whether to formally intervene in the case to share its expertise. They have also proposed extending the time firms have to respond to motor finance complaints involving non-discretionary commission arrangements. The FCA plans to publish their policy statement by December 19, 2024.

The implications for consumers could be significant:

  1. Resolution of Complaints: If the Supreme Court rules in favor of the appeal, it might affect how quickly motor finance complaints are resolved, especially those involving non-discretionary commission arrangements.
  2. Market Stability: The outcome could impact the motor finance market’s stability, potentially influencing the availability and terms of motor finance products.
  3. Consumer Protection: The FCA’s potential intervention aims to ensure that consumer interests are adequately represented and protected during the appeal process.
  4. Policy Changes: Depending on the Supreme Court’s decision, the FCA might adjust its policies, which could lead to changes in how motor finance agreements are regulated and how complaints are handled.

Overall, the Supreme Court’s decision could lead to more clarity and potentially better protection for consumers in the motor finance market. If you have any specific concerns or questions about how this might affect you personally, feel free to ask!