FLA comment on the FCA’s proposed update to the guidance on repossessing vehicles

Commenting on the Financial Conduct Authority’s proposed update to the guidance on repossessing vehicles, Adrian Dally, Head of Motor Finance at the FLA, said:

“This is a welcome move as it allows lenders and consumers to decide together on the best outcome.

“If a customer still needs their vehicle due to vulnerability, lenders will of course take that into consideration, but where a customer’s circumstances have changed so that they do not need their vehicle any longer and repossession is the best option, it is absolutely right that lenders can now offer that solution.”

 Notes to editors

1. The FCA’s proposed updates to its guidance on repossessions can be found at https://www.fca.org.uk/news/statements/fca-proposes-update-guidance-mortgages-consumer-credit-repossessions
2. In 2019, FLA members provided £140 billion of new finance to UK businesses and households. £105 billion of this was in the form of consumer credit, over a third of total new consumer credit written in the UK in 2019. £48 billion of it supported the purchase of new and used cars, including over 91% of private new car registrations.
3. For media enquiries, please contact the FLA press office on 020 7420 9656.