Subaru cars were commonly sold on
Personal Contract Purchase (PCP) and
Hire Purchase (HP) finance agreements during the Financial Conduct Authority's (FCA) investigation period from 6 April 2007 to 1 November 2024. This investigation uncovered widespread mis-selling in motor finance, affecting millions of consumers across various car manufacturers, including Subaru.
## How Subaru Cars Were Financed
Subaru cars were often financed through a range of lenders such as
Black Horse, Barclays Partner Finance,
Close Brothers Motor Finance,
MotoNovo Finance, and
Santander Consumer Finance. These agreements typically involved PCP or HP terms. Under PCP, customers would make monthly payments on the car's depreciation over an agreed term, with the option to buy it outright at the end of the agreement for a final balloon payment. Hire Purchase (HP) agreements allowed customers to own the vehicle by making regular payments until the loan was paid off in full.
## The FCA Motor Finance Investigation
The Financial Conduct Authority conducted a thorough investigation into motor finance practices from 6 April 2007 to 1 November 2024. One of the key findings was that
discretionary commission arrangements between lenders and dealers contributed significantly to mis-selling issues. These arrangements allowed dealers to receive additional payments for steering customers towards higher-cost financing options, such as PCP agreements with high-interest rates or unnecessary add-ons.
The investigation revealed that 12.1 million eligible agreements (FCA, March 2026) by these practices (FCA estimate), resulting in an estimated £7.5 billion in overcharges across the UK automotive industry (FCA estimate). The average consumer was reportedly overcharged around £829 per agreement, highlighting the scale of this issue.
## How to Check Your Agreement Key indicators of an affected finance agreement include:
- You were steered towards a PCP or HP plan with high interest rates.
- Your agreement included unnecessary add-ons such as
GAP insurance.
- The dealer offered you incentives to choose more expensive financing options.
To determine if your Subaru finance agreement is affected, review the terms and conditions of your loan, focusing on any unusual fees or clauses that may suggest mis-selling. If you suspect an issue, it’s advisable to contact your lender directly for further clarification.
## How to
Complain Directly to Your Lender for Free
If you believe your Subaru car finance agreement was affected by the FCA investigation findings, you can complain directly to your lender at no cost. Common lenders used for Subaru cars include Black Horse, Barclays Partner Finance, Close Brothers Motor Finance, MotoNovo Finance, and Santander Consumer Finance.
When lodging a complaint with these lenders, provide detailed information about any concerns regarding mis-selling practices during the purchase of your car finance agreement. You do not need to engage a
claims management company; most major lenders have dedicated teams to handle such complaints without requiring external assistance. This ensures that you can address the issue directly and receive appropriate redress.
## Sources and References
- Financial Conduct Authority (FCA). "Motor Finance Investigation" [Report]. FCA, 2024.
- Office for National Statistics (ONS) Census 2021.
FCA Compensation: FCA Scheme Figures
The FCA confirmed on 30 March 2026 that 12.1 million motor finance agreements are covered by the FCA redress scheme. The FCA-estimated scheme average of £829 per eligible agreement per agreement, with a total of £7.5 billion set aside for consumers. The scheme covers PCP and HP agreements entered into between 6 April 2007 and 1 November 2024.
Two separate schemes apply: post-2014 agreements (implement by 30 June 2026) and pre-2014 agreements (implement by 31 August 2026). 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.
Across 58,336 MOT tests in 2024, Subaru vehicles have an overall pass rate of 81.1%. This is close to the national average of 79.6%. DVSA data covers 25 Subaru models with sufficient test volume.
- Overall pass rate: 81.1%
- Total MOT tests (2024): 58,336
- Models with data: 25
- National average: 79.6%
Best Subaru models for MOT pass rate
- Subaru Forester I Xe Prm Ebxr Awd Cvt: 94.7% pass rate (1,130 tests)
- Subaru Wrx: 92.0% pass rate (1,658 tests)
- Subaru Levorg: 89.9% pass rate (624 tests)
- Subaru Brz: 89.0% pass rate (601 tests)
- Subaru Xv: 85.8% pass rate (5,832 tests)
Subaru models with lowest MOT pass rate
- Subaru Outback: 82.1% pass rate (7,645 tests)
- Subaru Impreza: 81.2% pass rate (17,131 tests)
- Subaru Forester: 77.7% pass rate (14,215 tests)
- Subaru Legacy: 74.0% pass rate (5,116 tests)
- Subaru Justy: 72.7% pass rate (748 tests)
Subaru MOT Reliability Trend (2022-2024)
Subaru pass rates have remained stable: 80.6% in 2022, 80.5% in 2023, and 81.1% in 2024.
- 2022: 80.6% pass rate (71,474 tests)
- 2023: 80.5% pass rate (68,685 tests)
- 2024: 81.1% pass rate (58,336 tests)
Based on 198,495 MOT tests across three years (DVSA open data).
Data source: DVSA anonymised MOT test results 2024, Open Government Licence v3.0.