Get all your news in one place.
100's of premium titles.
One app.
Start reading
The Guardian - UK
The Guardian - UK
Business
Kalyeena Makortoff Banking correspondent

City watchdog faces legal action over £9.1bn compensation scheme for car loan victims

Monthly finance stickers on cars in a showroom
Consumer Voice says the scheme gives too much weight to limiting lenders’ bills rather than redress for drivers. Photograph: Matt Cardy/Getty Images

A consumer group is preparing to take the City watchdog to court in the hope of overhauling a £9.1bn compensation scheme that it claims massively shortchanges victims of the UK car loan scandal.

Lawyers working for Consumer Voice have written to the Financial Conduct Authority (FCA), notifying them that they intend to challenge the redress programme in order to protect drivers’ interests, according to sources familiar with the group’s plans.

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.