Motor finance mis-selling has moved from speculation to a confirmed, multi-billion-pound redress programme. On 30 March 2026, the FCA published Policy Statement PS26/3, confirming a nationwide motor finance consumer redress scheme covering agreements taken out between 6 April 2007 and 1 November 2024. The regulator's own estimate puts total compensation at up to £7.5 billion, with an average payout currently calculated at around £829 per agreement.

What the FCA confirmed

PS26/3 sets out how lenders should calculate and pay redress where discretionary commission arrangements or other undisclosed commission structures led to customers paying more than they should have for PCP and other motor finance agreements. Crucially, the scheme puts the burden on lenders to identify affected customers proactively, rather than requiring every claimant to come forward individually.

Why the timeline has slipped

The scheme has not launched without resistance. Aspects of it have been challenged in the Upper Tribunal by Consumer Voice and several lenders, including Mercedes-Benz Finance, Volkswagen Financial Services and Credit Agricole. As a result, the FCA has confirmed that lenders do not need to calculate or pay compensation until those challenges are resolved, with hearings expected in December 2026 or February 2027. For firms building a claims pipeline, that means a longer runway before payouts begin, not a smaller opportunity.

What counts as a mis-sold PCP claim

• Agreements taken out between April 2007 and November 2024 where commission was not properly disclosed
• Discretionary commission arrangements that gave the broker an incentive to set a higher interest rate
• Cases where the customer was not told how commission influenced the deal they were offered

Awareness of the scheme is already high, and it is rising further as the legal challenges keep it in the news. That combination, a confirmed compensation framework and a longer lead-in period, tends to produce a large, sustained pool of people actively looking for help, rather than a short-lived surge.

What this means for lead quality

Volume alone is not the story here. With a claim type this well publicised, the risk of low-quality, recycled or scraped data increases sharply. Every lead we generate for this product line comes from our own campaigns, with consent captured and evidenced at the point of interest, engineered around compliance from day one rather than retrofitted once demand takes off.