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Worcestershire, a county with a population of 604,000 (ONS Census 2021), has seen an estimated 57,078 drivers potentially affected by motor finance mis-selling from 6 April 2007 to 1 November 2024 (calculated using ONS Census 2021 population data and FCA estimates). This issue impacts a significant number of residents who may have entered into
Personal Contract Purchase (PCP) or
Hire Purchase (HP) agreements during this period.
How Motor Finance Mis-selling Affected Worcestershire
Local dealerships in Worcestershire, such as Sytner Worcestershire, Pendragon Worcestershire, Listers Group Worcestershire, and John Clark Motor Group Worcestershire, were involved in the sale of PCP and HP finance agreements. These dealership groups facilitated financing through major lenders operating in the area, including
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 mis-selling issue primarily revolved around
discretionary commission arrangements that incentivised dealers to sell finance products regardless of their suitability for the customer.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) conducted a full investigation into motor finance mis-selling, which affected 12.1 million eligible agreements (FCA, March 2026) across the UK from 6 April 2007 to 1 November 2024 (FCA estimate). These agreements represent an estimated total value of £7.5 billion (FCA estimate), with the average customer losing around £829 due to mis-selling practices. The investigation uncovered that discretionary commission arrangements led dealers to prioritise selling finance products over ensuring customers received suitable advice, resulting in financial harm for many Worcestershire residents.
How Worcestershire Residents Can Check Their Finance Agreements
Worcestershire residents who suspect they may have been affected by motor finance mis-selling should review their car purchase documents. Key dates to check are from 6 April 2007 through 1 November 2024, as this period marks the timeframe of the FCA investigation. Important documents to gather include the original finance agreement, any letters or communications regarding your finance deal, and bank statements that show payments made during the relevant period.
If you believe you have been affected by motor finance mis-selling, you can complain directly to your lender for free. Major lenders such as Black Horse (Lloyds Banking Group), MotoNovo Finance, Close Brothers Motor Finance, Santander Consumer Finance, Barclays Partner Finance, and Alphera Financial Services (BMW) all provide a dedicated complaints process. You do not need a
claims management company; contacting the lender directly is the first step in resolving any issues you may have encountered.
If your complaint is not resolved to your satisfaction after going through the internal process, you can escalate it to the
Financial Ombudsman Service (
FOS) for free and impartial review. The FOS provides an additional avenue to seek justice without involving costly third-party claim management services.
Sources and References
- Financial Conduct Authority (FCA). "Motor Finance Mis-selling Investigation." 2024.
- Office for National Statistics (ONS). Census 2021.
- Financial Ombudsman Service (FOS)
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.