The Peugeot 308 SW has been a popular choice for car buyers since its introduction, often sold on
Personal Contract Purchase (PCP) and
Hire Purchase (HP) finance agreements during the FCA’s motor finance investigation period from 6 April 2007 to 1 November 2024. This period saw significant scrutiny over how financial institutions handled
discretionary commission arrangements in car financing, affecting millions of consumers across the UK.
How the Peugeot 308 SW was Typically Financed
During its peak sales years, the Peugeot 308 SW was commonly financed through Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements. The typical finance amount for a new Peugeot 308 SW ranged from £15,000 to £30,000, with most customers opting for PCP terms of 36 to 48 months. Common lenders providing finance for the Peugeot 308 SW included
Black Horse, Barclays Partner Finance,
Close Brothers Motor Finance,
MotoNovo Finance, and
Santander Consumer Finance.
In a PCP agreement, borrowers make monthly payments while also setting aside an optional final payment, known as a balloon or guaranteed minimum future value (GMFV). This arrangement allows the borrower to return the vehicle at the end of the term if they choose not to purchase it outright. The GMFV is set at the beginning based on projected depreciation and market conditions.
The FCA Motor Finance Investigation
The Financial Conduct Authority (FCA) conducted an extensive investigation into motor finance practices, focusing particularly on discretionary commission arrangements between lenders and car dealerships. This investigation revealed that many consumers were unknowingly overcharged due to improper financial incentives given by lenders to dealers for steering customers towards certain types of financing products.
According to the FCA’s findings, 12.1 million eligible agreements (FCA, March 2026) were affected by these practices across the UK between April 2007 and November 2024. The total amount involved was estimated at £7.5 billion (FCA, March 2026) (FCA, March 2026). This investigation highlighted significant issues in how motor finance agreements were sold, particularly during a period when car sales soared.
How to Check Your Agreement Look for terms like “Discretionary Commission Arrangement” (DCA) or any mention of additional fees or incentives that were not clearly explained at the time of signing.
The relevant dates to consider are from 6 April 2007 through 1 November 2024, as this was the period under investigation by the FCA. If your agreement falls within these parameters and includes elements such as balloon payments or optional purchase options that were not transparently explained, there is a higher likelihood of being affected.
If you suspect that your Peugeot 308 SW finance agreement was mishandled due to discretionary commission arrangements, the first step should be to contact your lender directly. Common lenders like Black Horse, Barclays Partner Finance, Close Brothers Motor Finance, MotoNovo Finance, and Santander Consumer Finance all have dedicated departments for handling customer complaints related to past financial practices.
You do not need a
claims management company to file a complaint; you can handle this process yourself at no cost by reaching out directly to your lender. Provide them with evidence such as copies of your original finance agreement, any correspondence regarding the terms of your loan, and details about how you believe you were overcharged or misled.
Sources and References
- Financial Conduct Authority (FCA). "Motor Finance: Commission Arrangements". FCA, 2024.
- Office for National Statistics (ONS). "Census 2021". ONS, 2021.
Based on 141,912 MOT tests conducted in 2024 (source: DVSA anonymised test data), the Peugeot 308 has a pass rate of 74.9%. This is below the national average of 79.6%, meaning the 308 has a higher-than-average failure rate in MOT testing.
The 308 pass rate is slightly below the overall Peugeot average of 77.1%. The average mileage at MOT for this model is 85,645 miles.
- MOT pass rate: 74.9%
- MOT failure rate: 25.1%
- Tests analysed: 141,912 (2024 DVSA data)
- Average mileage at test: 85,645 miles
- Peugeot average pass rate: 77.1%
- National average pass rate: 79.6%
Data source: DVSA anonymised MOT test results 2024, published under the Open Government Licence v3.0.