Motor Finance Claims Tamworth - FCA Investigation

Home › Areas › Motor Finance Claims Tamworth - FCA Investigation

Motor Finance Claims Tamworth - FCA Investigation

Last updated: 27 February 2026

Tamworth - mlj.org.uk — Photo by kevin grieve on Pexels

Tamworth, a town in Staffordshire within the West Midlands region, has seen an estimated 7,466 drivers potentially affected by motor finance mis-selling during the period from 6 April 2007 to 1 November 2024 (calculated using ONS Census 2021 population data and FCA estimates). With a population of 79,000 (ONS Census 2021), residents who purchased cars through Personal Contract Purchase (PCP) or Hire Purchase (HP) finance agreements may have been impacted by the Financial Conduct Authority’s (FCA) investigation into discretionary commission arrangements.

How motor finance mis-selling affected Tamworth

Local dealerships in Tamworth, such as Sytner Tamworth, Pendragon Tamworth, Listers Group Tamworth, and John Clark Motor Group Tamworth, were among those offering PCP and HP financing to residents. These agreements often came with discretionary commissions that lenders paid to dealerships for arranging finance contracts. The 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 FCA investigation revealed that discretionary commissions played a significant role in mis-selling practices. Between 6 April 2007 and 1 November 2024, an estimated 12.1 million eligible agreements (FCA, March 2026) by these issues (FCA estimate). The total value of mis-sold agreements amounted to £7.5 billion, with the average additional cost per agreement being £829 (FCA estimate). Discretionary commissions incentivized dealerships to push more expensive finance deals rather than cheaper alternatives or cash purchases. This led to customers often paying higher interest rates and fees without their knowledge.

How Tamworth residents can check their finance agreements

Tamworth residents should review their motor finance agreements carefully, focusing on the period between 6 April 2007 and 1 November 2024. Key aspects to examine include:

Finance agreement dates: Ensure your contract falls within the specified timeframe.
Interest rates and fees: Look for unusually high interest rates or unexpected additional fees.
Discretionary commission documentation: Check if there are any mentions of commissions paid by lenders to dealerships.

Gather all relevant documents, including finance agreements, payment receipts, and communication with your lender. This will help you build a full case when complaining directly to the lender.

How to complain directly to your lender for free

Tamworth residents do not need to use a claims management company; they can contact their lenders directly at no cost. Major lenders operating in Tamworth include:

Black Horse (Lloyds Banking Group)
MotoNovo Finance
Close Brothers Motor Finance
Santander Consumer Finance
Barclays Partner Finance
Alphera Financial Services (BMW)

You can complain directly to your lender for free and request a review of your finance agreement. If you are unsatisfied with the outcome, the next step is to escalate your complaint to the Financial Ombudsman Service (FOS), which offers a free service to resolve disputes.

Sources and references

FCA estimates on motor finance agreements: 12.1 million eligible agreements (FCA, March 2026), £7.5 billion total mis-sold value, £829 average per eligible agreement additional cost per agreement (FCA estimate).
Population data for Tamworth: ONS Census 2021.
Major lenders operating in the West Midlands region: FCA Register and lender websites.
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 Tamworth might be affected by motor finance mis-selling?

Based on calculated estimates using ONS Census 2021 population data and FCA estimates, approximately 7,466 drivers in Tamworth could potentially be affected by motor finance mis-selling.

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

If you believe your motor finance agreement may have been mis-sold, it is advisable to review the terms of your contract carefully. You can also contact your lender directly for free to discuss any concerns or seek clarification.

Are there local dealerships in Tamworth known for selling problematic motor finance agreements?

While specific names may vary, some local dealership groups in Tamworth have been associated with the sale of motor finance agreements that might be mis-sold. It is important to review your agreement and understand its terms.

What actions can I take if my motor finance agreement was mis-sold in Tamworth?

If you suspect your motor finance agreement was mis-sold, consider reviewing the documentation provided by your lender. You do not need a claims management company; instead, you can complain directly to your lender for free.

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.