The Future of Motor Finance: Expectations Ahead of Friday's Supreme Court Judgement 

On Friday 1st August 2025 at 16:35 the Supreme Court will hand down its judgment on motor finance commissions. It is a decision that will shape the future of redress, regulation and customer confidence across the industry. 

While some expect the ruling to bring final clarity, others believe it will be only the start of a more complex journey. A key aspect of the judgment will be the long-awaited clarification of the duties owed by brokers and dealers in these arrangements, including whether these duties include fiduciary or disinterested obligations. If such duties are upheld, brokers will need to ensure full and clear disclosure of commission and lenders may face liability where they have failed to prevent or control non‑disclosure. The industry is also watching closely for guidance on: 

The decision comes against a backdrop of two very different narratives. Consumer groups are calling for fairness and transparency, while lenders are focused on proportionality and economic stability. 

Recent press coverage suggests that some analysts have started to scale back their assumptions on the overall cost of redress. There is an expectation that the FCA will take a proportionate approach. At the same time regulators have made clear that they intend to take a firmer stance on curbing aggressive claims management activity, which has become a growing concern for firms and customers alike. 

Whatever the outcome, the implications for operational readiness, redress planning and risk management will be significant.