The Toyota Prius Plug-in, a popular hybrid vehicle known for its fuel efficiency and environmental credentials, was 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 of motor finance products across the UK automotive industry, affecting an estimated 12.1 million eligible agreements (FCA, March 2026) worth £7.5 billion (FCA, March 2026) in total (FCA, March 2026).
How the Toyota Prius Plug-in was Typically Financed
The Toyota Prius Plug-in is often financed through Personal Contract Purchase (PCP) and Hire Purchase (HP) agreements, with typical finance amounts ranging from £15,000 to £30,000. These financing options are commonly provided by lenders such as
Black Horse, Barclays Partner Finance,
Close Brothers Motor Finance,
MotoNovo Finance, and
Santander Consumer Finance. PCP terms usually span 36-48 months, during which time the borrower makes monthly payments while retaining an option to purchase the vehicle at the end of the term through a balloon payment.
A balloon payment is a large final installment that covers the remaining value of the car after all other payments have been made. This arrangement often leaves borrowers with a significant financial burden at the end of their contract, especially if they did not accurately estimate their ability to pay this lump sum or planned to return the vehicle instead.
The FCA Motor Finance Investigation
The FCA investigation revealed that many motor finance agreements were sold through
discretionary commission arrangements, which allowed lenders and dealerships to earn additional income for recommending certain financial products. This practice often led to customers being sold overly expensive or inappropriate finance packages, such as those with excessively high interest rates or unnecessary add-ons.
As a result of this mis-selling scandal, millions of car owners across the UK may have been affected by these arrangements. The FCA estimates that 12.1 million eligible agreements (FCA, March 2026) impacted (FCA estimate), amounting to a total financial loss of £7.5 billion (FCA, March 2026). FCA-estimated average overpayment per eligible agreement: £829.
How to Check Your Agreement Look for specific details such as:
- The dates of when the agreement was made (between 6 April 2007 and 1 November 2024).
- Any mention of "discretionary commission arrangement" or "DCA."
These terms indicate that you might have been part of a financial mis-selling scheme. If your agreement contains these details, it is worth considering contacting the
Financial Ombudsman Service (
FOS) for further assistance.
If you suspect that your Toyota Prius Plug-in finance agreement was affected by the FCA's motor finance investigation, you can directly
complain to your lender without needing a
claims management company. Common lenders associated with Toyota include Black Horse, Barclays Partner Finance, Close Brothers Motor Finance, MotoNovo Finance, and Santander Consumer Finance.
When reaching out to your lender, provide them with relevant documentation and clearly explain your concerns about the mis-selling practices that may have affected your agreement. Remember, you do not need a claims management company; instead, you can resolve disputes directly with your lender for free.
Sources and References
- Financial Conduct Authority (FCA) estimates on motor finance agreements.
- Office for National Statistics Census data (ONS Census 2021).
- Financial Ombudsman Service (FOS) guidelines.
Based on 149,474 MOT tests conducted in 2024 (source: DVSA anonymised test data), the Toyota Prius has a pass rate of 86.9%. This is above the national average of 79.6%, meaning the Prius performs well in MOT testing.
The Prius pass rate is better than the overall Toyota average of 82.8%. The average mileage at MOT for this model is 132,141 miles.
- MOT pass rate: 86.9%
- MOT failure rate: 13.1%
- Tests analysed: 149,474 (2024 DVSA data)
- Average mileage at test: 132,141 miles
- Toyota average pass rate: 82.8%
- National average pass rate: 79.6%
Data source: DVSA anonymised MOT test results 2024, published under the Open Government Licence v3.0.