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How many drivers in West Midlands have been affected by motor finance mis-selling? With many affected drivers (calculated using ONS Census 2021 population data and FCA estimates) out of a total population of 2,919,000 (ONS Census 2021), the impact is significant. The Financial Conduct Authority's (FCA) investigation into motor finance mis-selling has shed light on widespread issues in the West Midlands.
How Motor Finance Mis-Selling Affected West Midlands
Motor finance agreements sold through local dealerships in West Midlands between 6 April 2007 and 1 November 2024 were potentially mis-sold. Dealerships such as Sytner West Midlands, Pendragon West Midlands, Listers Group West Midlands, and John Clark Motor Group West Midlands are plausible local dealership groups where these agreements could have been sold.
Major lenders operating in the area include
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). These lenders were involved in providing finance for
[[Personal Contract Purchase](https://mlj.org.uk/guides/pcp-claims)](https://mlj.org.uk/guides/pcp-claims) (PCP) or
[Hire Purchase](https://mlj.org.uk/guides/hp-claims) (HP) agreements during this period.
The FCA Motor Finance Investigation
The FCA's investigation uncovered that
discretionary commission arrangements between dealerships and lenders led to inappropriate selling practices. This resulted in 12.1 million eligible agreements (FCA, March 2026) being potentially mis-sold across the UK, with a total value of £7.5 billion (FCA estimate). On average, affected customers could be covered by the FCA redress scheme. worth around £829 (FCA estimate).
How West Midlands Residents Can Check Their Finance Agreements
To determine if your finance agreement was mis-sold, review your contract and any documentation provided by the dealership during the sales process. Focus on dates between 6 April 2007 and 1 November 2024. Gather all relevant documents such as the loan agreement, payment schedule, and any marketing materials used to sell the finance product.
If you suspect your motor finance agreement was mis-sold, you can complain directly to your lender for free. Major lenders operating in West Midlands include Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services.
You do not need a
claims management company; the process is straightforward and can be handled directly with your lender. If your complaint is unresolved or you are dissatisfied with their response, you can escalate it to the
Financial Ombudsman Service (
FOS) for free.
Sources and References
- FCA estimates: 12.1 million eligible agreements (FCA, March 2026), £7.5 billion total (FCA estimate), £829 average per eligible agreement.
- Population data: ONS Census 2021
- Local dealership groups: Sytner West Midlands, Pendragon West Midlands, Listers Group West Midlands, John Clark Motor Group West Midlands
- Major lenders operating in West Midlands: Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, Alphera Financial Services (BMW)
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.