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How many drivers in Nottingham might have been affected by motor finance mis-selling? According to calculations using ONS Census 2021 population data and FCA estimates, around 30,580 residents of Nottingham could be impacted. With a total population of 323,600 (ONS Census 2021), this issue affects a significant portion of the city's car owners.
How Motor Finance Mis-selling Affected Nottingham
Motor finance mis-selling has been a widespread concern in Nottingham, with numerous local dealerships potentially involved. Dealers such as Inchape Nottingham, Pendragon Nottingham, Marshall Motor Group Nottingham, and Sytner Nottingham have all sold
Personal Contract Purchase (PCP) and
Hire Purchase (HP) agreements to customers. Major lenders like
Black Horse (Lloyds Banking Group),
MotoNovo Finance,
Close Brothers Motor Finance,
Santander Consumer Finance, Barclays Partner Finance, and
[Alphera](https://mlj.org.uk/lenders/alphera-financial-services) Financial Services (BMW) were also operating in the area during the affected period.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) investigation into motor finance mis-selling revealed that dealerships offered PCP/HP agreements with
discretionary commission arrangements, which could have led to higher interest rates for customers. According to the FCA estimates, this practice impacted 12.1 million eligible agreements (FCA, March 2026) nationwide between 6 April 2007 and 1 November 2024 (FCA estimate), resulting in an FCA-estimated scheme average of £829 per eligible agreement per customer (£7.5 billion total) (FCA estimate).
How Nottingham Residents Can Check Their Finance Agreements
To determine if you were affected by motor finance mis-selling, residents should review their finance agreements and look for evidence of discretionary commission arrangements. The period during which this practice was prevalent spans from 6 April 2007 to 1 November 2024 (FCA estimate). Key documents to gather include your contract hire or personal loan agreement, any communication with the lender regarding changes in interest rates, and any records of payments made.
If you suspect that you have been a victim of motor finance mis-selling, you can complain directly to your lender for free. Major lenders operating in Nottingham include Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services (BMW). You do not need a
claims management company; instead, contact the lender's customer service department to initiate your complaint.
If your complaint is unresolved or you are unsatisfied with the response from your lender, you can escalate it to the
Financial Ombudsman Service (
FOS) for free. The FOS provides an independent review and can make a binding decision on behalf of consumers.
Sources and References
- Office for National Statistics (ONS), Census 2021
- Financial Conduct Authority (FCA), 2024
Car Finance Compensation in Your Area
The FCA confirmed that 12.1 million motor finance agreements across the UK qualify for compensation. The FCA-estimated scheme average of £829 per eligible agreement per agreement, totalling £7.5 billion in redress. If you took out PCP or HP car finance between 6 April 2007 and 1 November 2024, your agreement may be eligible regardless of where you live in the UK.
The final deadline to complain is 31 August 2027. You can complain to your lender directly for free. You do not need a claims management company.