Car finance redress under challenge, FOS raises the bar for 'free' cases, and six recalls in a week
A consumer group is taking the FCA's £7.5bn car finance redress scheme to the Upper Tribunal. The Financial Ombudsman has rewritten the rules on what counts as a 'free' complaint. And the OPSS published six new product recalls in one week, two of them serious. Here's what it all means for you.
Three things happened this week that could cost, or save, you money. One is a tribunal challenge to a £7.5bn compensation scheme. One is a quiet rewrite of how much your complaint to the Financial Ombudsman is really worth. And one is a run of product recalls you might already have at home.
Consumer Voice takes the motor finance scheme to the Upper Tribunal
The Financial Conduct Authority's motor finance consumer redress scheme (PS26/3) has a new adversary: Consumer Voice, the consumer advocacy group, has filed an objection at the Upper Tribunal challenging the scheme's design. The objection argues that the scheme understates the true scale of commission-driven mis-selling by restricting eligibility too narrowly and by using a Johnson v FirstRand-style benchmark that caps the per-agreement payout.
The objection window closed on 27th April 2026. The scheme runs on pending any Tribunal ruling, so the headline dates (lenders contacting consumers from 30th June, final complaint deadline 31st August 2027) still stand.
What it means for you: if you had car finance between April 2007 and November 2024, do not stop complaining. Martin Lewis and MoneySavingExpert have both said publicly that consumers should continue to lodge claims, whether or not a ruling eventually enlarges the scheme. A claim pending at the moment of any favourable ruling is worth more than one you filed late. If you are not sure whether you qualify, EvenStance can walk you through the eligibility check and file the complaint directly with your lender, for free.
FOS £2,000 allowance, and BNPL joins the ombudsman
Two less-noisy changes to the Financial Ombudsman Service have landed this week.
The "three free cases" rule is gone. In its place: a £2,000 case fee allowance per consumer, per year. In practical terms, the Ombudsman will waive the standard £250 case fee (charged to the firm) for as long as your cumulative eligible complaints stay under £2,000 in aggregate value. The change is intended to reduce gaming by claims management companies, but it has a knock-on effect on legitimate complainants: if you have several small-value complaints against the same firm, stagger them rather than bundling them into a single submission, because the allowance resets annually.
BNPL joins the FOS's jurisdiction from 1st July 2026. Klarna, Clearpay, PayPal Pay in 3, Zilch, and Laybuy will all be answerable to the Ombudsman from that date. If a BNPL provider has refused to refund a missed delivery, charged late fees unfairly, or reported adverse data to a credit bureau without notice, you'll be able to escalate to the Ombudsman at no cost. Motor finance already makes up roughly 25% of FOS caseload; BNPL is expected to add another material slice.
Six OPSS product recalls, two rated Serious
The Office for Product Safety and Standards published six new recall notices in the week to 23rd April. Two are rated Serious, meaning a real risk of injury.
| Product | Issue | Rating | Action |
|---|---|---|---|
| Acer electric scooter (model and batch listed on OPSS notice) | Battery fire risk under normal charging | Serious | Stop using immediately. Contact retailer. |
| SCUBAPRO BCD integrated weights | Release mechanism can fail under load, trapping weights at depth | Serious | Stop using. Return for replacement. |
| Zwilling electric kettles | Handle detachment under full-load lift | Standard | Return for refund or replacement. |
| GoodHome integrated fridges (sold via Kingfisher retailers) | Thermostat fault causes overheating | Standard | Book engineer visit. |
| Yamaha golf cars | Brake-pedal return spring corrosion | Standard | Dealer inspection. |
| Sigenergy residential battery controller | Firmware fault can cause inverter shutdown mid-cycle | Standard | Over-the-air update pending; monitor installation. |
Separately, the ongoing OPSS notice on asbestos-contaminated children's toys imported via certain online marketplaces remains open. If you bought toy jewellery or modelling compounds through a third-party seller since January, check the OPSS database.
Your rights: under section 9 of the Consumer Rights Act 2015, goods must be of satisfactory quality. A safety recall is usually conclusive evidence of a breach. You are entitled to a full refund, not just a repair or replacement, if the fault materialises within the first 30 days. After 30 days, you can insist on a repair or replacement, and claim a full refund if that fails. The retailer cannot push you back to the manufacturer; your contract is with the retailer.
Also this week
- FCA crypto raids. Five suspect firms visited, two assets frozen, no arrests announced. Expect formal enforcement in the next 30 days.
- CMA fines AA £4.2m for drip pricing on driving lessons. First real-teeth penalty under the Digital Markets, Competition and Consumers Act 2024. £760k refunded to learners.
- Octopus Go short-notice hike. Smart EV tariff rising by around 18% with 14 days' notice. Tenants and EV drivers on fixed tariffs should check their exit terms; the 30-day right to leave on mid-contract price rises (in force from 1st April) may apply.
- Arnold Clark breach class action cleared to proceed at the CAT. 4.6 million affected records. Joining is free; opt-out is the default.
- ADR accreditation mandatory from 1st July for any business selling to consumers online. Retailers without an accredited scheme face Trading Standards enforcement.
What EvenStance is doing
- A top-of-site banner now flags the PS26/3 Consumer Voice challenge on our motor-finance pages, so users filing a claim know the direction of travel.
- The corporate portal has had an audit pass: redacted PII in all consumer-facing case views, tier-based response limits enforced, and settlement workflow checked against FCA DISP.
- Six new company seeds shipped this week (Acer, SCUBAPRO, Zwilling, GoodHome, Yamaha, Sigenergy), so anyone filing a recall complaint gets the correct escalation route and contact details out of the box.
The close
If you have been putting off a motor finance claim because you were waiting for clarity, the clarity is not coming soon. File the complaint. The scheme runs on, and a pending complaint is a claim you still own if anything changes at the Tribunal.
Have a dispute? Start your free case on EvenStance. No CMC fees, no surrendered percentage, full access to the AI-drafted complaint flow and letter builder.
