The UK car finance scandal—£18 billion of redress hanging over lenders—has just taken another turn. Consumers hoping for swift justice may have to wait until 2026, as the Financial Conduct Authority (FCA) quietly confirms what many of us already knew: industry obstruction, regulatory compromise, and a system that puts growth above protection.
What Nikhil Rathi Just Confirmed
Speaking before MPs this week, FCA boss Nikhil Rathi admitted that:
- Some lenders are not co-operating with the redress scheme.
- Judicial reviews may be used to stall payouts.
- “Critical mass” of complaints won’t be resolved until at least 2026.
This is no accident. Delay is a well-used tactic. Firms know that time thins the herd: fewer claimants persist, fewer records survive, fewer stories reach the press. Meanwhile, regulators trumpet themselves as consumer champions while quietly accommodating industry lobbying.
The Regulator’s Contradictions
This is the same FCA that told the Supreme Court bribes should be allowed and fiduciary duty should not be expected of brokers.
Now it admits that a “very significant portion” of car loans—14.6 million discretionary commission arrangements—“probably breached the law.”
So which is it?
- A regulator that stands up for consumers?
- Or a regulator that validates structural untrustworthiness while smoothing the road for “economic growth”?
Why This Matters
The car finance scandal is not about cars. It is about power.
- 30 million agreements were struck between 2007 and 2021 under arrangements designed to maximise broker commissions, not consumer outcomes.
- £950 per head is the likely payout—crumbs compared to the scale of extraction.
- Behind the scenes, the regulator reassures lenders while leaving consumers waiting, weary, and worn down.
This is how the system works: exploitation first, redress later (if at all). By the time compensation lands, it is diluted, delayed, and deniable.
A Bigger Picture
The FCA’s position is clear: it accepts an industry that is structurally untrustworthy. Its role is not to prevent harm but to manage the fallout, to keep the machine moving while consumers bear the cost.
And yet, the solution does not lie in more bureaucracy. It lies in empowering individuals and communities to plan their financial lives free from conflicted commissions, hidden incentives, and captured regulators.
That is why we built the GAME Plan—a model for sovereign living, planning life before money, and restoring autonomy.
Conclusion
The car finance scandal is a symptom of a deeper problem: an extractive system where regulators pose as consumer champions while quietly protecting growth and industry interests.
For consumers, the lesson is stark:
- Do not rely on redress as justice.
- Do not expect regulators to defend your corner.
- Build your own resilience, your own plan, your own autonomy.
Only then will we stop being driven around in circles by those who profit from our delay.
About Get SAFE
Get SAFE (Support After Financial Exploitation) was born from a simple truth: too many victims of financial abuse are left to suffer in silence.
We exist for people like Ian—for the ones who did everything right, only to be failed by the systems they trusted. We know that behind every vanished pension, every ignored complaint, and every stonewalled letter is a person—frightened, exhausted, and too often alone.
Get SAFE offers more than sympathy. We offer structure, support, and solidarity.
We provide a voice where there’s been silence, and clarity where there’s been confusion.
We stand beside those who have been exploited, not just to help them recover—but to help them reclaim their story and rebuild their future.
Because financial justice is not a luxury.
It’s a human right.
If you or someone you know has been affected by financial exploitation, we are here.
You are not alone.
Learn more at: Get SAFE (Support After Financial Exploitation).
Academy of Life Planning 