FCA launches national advertising campaign to help millions of car finance customers claim compensation for hidden commission arrangements

The Financial Conduct Authority (FCA) has launched a national advertising campaign aimed at helping millions of car finance customers make free complaints about hidden commission arrangements and claim compensation. The campaign went live on 28 July 2026 and forms part of the regulator's broader response to the car finance mis-selling controversy. The FCA's campaign targets customers who may have been charged undisclosed or discretionary commission (a payment made by a lender to a car dealer that was not disclosed to the customer at the point of sale) without their knowledge. The scale of potential redress across the car finance industry is significant: the FCA has previously been examining the extent of the problem across the sector, and lenders have been making provisions for potential compensation payments. Separately, the FCA also secured a court order requiring a convicted investment fraudster to repay more than £655,000 to victims, under proceeds of crime legislation, following enforcement action the regulator announced on 28 July 2026. The regulator stated that victims are set to recover the majority of the money they lost. No specific law firms were named as advisers in connection with either the car finance campaign or the proceeds of crime recovery. The FCA's consumer-facing campaign represents a proactive enforcement and consumer protection measure rather than a formal enforcement action against named firms at this stage, though the underlying review of discretionary commission arrangements is ongoing and is expected to generate significant legal activity across the financial services sector.