Motor Finance Claims Burnley - FCA Mis-Selling Investigation

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Motor Finance Claims Burnley - FCA Mis-Selling Investigation

Last updated: 27 February 2026

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Burnley, a town located within Lancashire in the North West region with a population of 96,800 (ONS Census 2021), has seen many affected drivers due to motor finance mis-selling practices from 6 April 2007 to 1 November 2024. This figure is calculated using ONS Census 2021 population data and FCA estimates.

How Motor Finance Mis-Selling Affected Burnley

Motor finance mis-selling in Burnley involved several local dealerships such as Arnold Clark Burnley, JCT600 Burnley, Lookers Burnley, and Peter Vardy Burnley. These dealerships were known for selling Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements to residents during the period from 6 April 2007 to 1 November 2024. Major lenders operating in the area included 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).

The FCA Motor Finance Investigation

The Financial Conduct Authority (FCA) launched an investigation into motor finance mis-selling due to discretionary commission arrangements. This inquiry found that 12.1 million eligible agreements (FCA, March 2026) across the UK during this period (FCA estimate), resulting in a total of £7.5 billion (FCA estimate) paid out by lenders to customers who had been overcharged or misled about their financing options. On average, each affected customer received around £829 (FCA estimate).

How Burnley Residents Can Check Their Finance Agreements

Burnley residents can check if they were affected by motor finance mis-selling by reviewing their vehicle purchase agreements and related documents. Focus on the dates of your agreement to see if it falls within 6 April 2007 to 1 November 2024. Gather any correspondence or paperwork from dealerships such as offers, contracts, and letters regarding your financing arrangement.

How to Complain Directly to Your Lender for Free

You can complain directly to your lender for free without the need for a claims management company. If you believe that your motor finance agreement was mis-sold by one of the major lenders like Black Horse, MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, or Alphera Financial Services, contact them directly to discuss any issues with your contract. The Financial Ombudsman Service (FOS) is also available as a free and impartial escalation route if you are unsatisfied with the response from your lender.

Sources and References

FCA estimates on motor finance mis-selling: 12.1 million eligible agreements (FCA, March 2026), £7.5 billion total, £829 average per eligible agreement
Population data for Burnley: ONS Census 2021
Local dealership groups in Burnley: Arnold Clark Burnley, JCT600 Burnley, Lookers Burnley, Peter Vardy Burnley
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.

Frequently Asked Questions

How many drivers in Burnley might be affected by motor finance mis-selling?

Based on ONS Census 2021 population data and FCA estimates, an estimated 9,148 drivers in Burnley could be affected by motor finance mis-selling.

What should I do if I suspect my motor finance agreement was mis-sold to me in Burnley?

If you believe your motor finance agreement may have been mis-sold, the first step is to review your contract and any communications with the lender. You can also complain directly to your lender for free without needing a claims management company.

How much money could be involved in mis-sold motor finance agreements in Burnley?

The total value of mis-sold motor finance agreements across the UK is estimated at £7.5 billion (FCA, March 2026). While this figure applies to the entire country, it reflects the potential scale of affected individuals like those living in Burnley.

What are some signs that my motor finance agreement might have been mis-sold in Burnley?

Signs of mis-selling include being sold a more expensive finance package than necessary, not understanding key terms and conditions, or feeling pressured into taking out the finance. If you recognize any of these issues, consider reviewing your contract thoroughly.

Important: MLJ.org.uk is an independent information resource. We are not a claims management company, solicitor, law firm, or financial adviser. We do not process claims, take fees, or provide advice. Where the law gives you a right to complain or claim directly (to a lender, council, FOS, court, or regulator), you can do so without paying a third party. MLJ.org.uk is operated by Copious Ltd, registered in England and Wales, company number 11437826.