Commenting on today’s Supreme Court ruling on motor finance commissions, Peter Rothwell, Head of Banking at KPMG UK, said:
“For lenders, today’s decision provides a clearer path forward and the FCA has legal clarity to proceed with a more targeted redress scheme, which is expected to be announced next month.
"Impacted lenders should continue preparing for what is still likely to be a significant customer redress exercise early next year. But they can do so with greater confidence that it will focus on discretionary commission arrangements and cases where there is a breach of the Consumer Credit Act as a result of an unfair relationship, rather than all historic commissions.”
