The year began with significant uncertainty in the motor finance market. Early concerns over complaint volumes and redress expectations created operational strain for lenders of all sizes. To help secure clarity, the CCTA made written submissions to the Supreme Court, urging the Court to prioritise the appeal given its implications for the entire regulated credit ecosystem.

When the case was listed for consideration in April, we moved quickly, engaging with HM Treasury and the FCA to ensure policymakers understood the practical realities facing smaller, independent lenders. This early visibility helped frame the subsequent consultation on the proposed redress scheme, where we made one message clear: certainty must not come at the expense of proportionality.

As the year closes, the FCA announced that the pause on motor finance complaint handling would end earlier than initially proposed. While the intention was to give consumers certainty, we highlighted the operational pressures this created – particularly for firms waiting on final rules before building compliant processes. This remains a live area where we continue to advocate for a sensible timeline, workable methodologies, and protections for firms with small or legacy portfolios.

2025 also saw the launch of Phase 1 of the Consumer Credit Act Reform process. Many voices across the industry argued for wholesale change, but our members’ feedback was clear: certainty, consistency, and proportionality matter just as much as reform.

We brought a distinctive perspective to HM Treasury – one that recognised the value of the Act as a long-established framework while proposing targeted improvements that would genuinely reduce complexity without creating new risks for consumers or lenders.

Alongside this, we engaged closely on issues such as financial promotions, affordability expectations, motor finance commission rules, and the evolving role of credit information through the new Credit Information Governance Body. These conversations will continue into 2026, and we will remain a strong voice for evidence-based policymaking.

A defining theme of the year was the renewed political focus on financial inclusion. Ministerial speeches and the publication of the National Financial Inclusion Strategy placed access to affordable credit firmly on the public agenda.

We welcomed this shift. Smaller lenders play a vital role in providing choice for consumers who would otherwise be underserved, and this year we emphasised that message repeatedly – with government, with regulators, and across industry partnerships. We also continued to engage with Fair4All Finance, debt advice charities, and community finance groups to help ensure the inclusion debate remains grounded in practical realities.

Throughout the year, we continued to strengthen our support offer. Highlights included:

• CCTA Academy, which expanded its training modules and workshops – covering responsible lending, complaints handling, Consumer Duty, and more
• our events programme, including the Winter Summit and sector-wide webinars, offering members insight into regulatory developments and emerging risks
• focused member roundtables on high-cost lending, motor finance, credit information, and affordability.

Behind the scenes, we improved our communications, upgraded our website, and increased the frequency of our policy briefings to help members stay ahead of fast-moving developments.

If 2025 was a year of navigating uncertainty, 2026 will be a year of building shape and direction.

We expect clarity on:

• the final form of the motor finance redress scheme
• phase 2 of the CCA Reform agenda
• the FCA’s evolving expectations on affordability, vulnerability, and financial promotions
• the role of credit information in a more data-driven regulatory environment.

Alongside this, our Spring Conference – Catalyst – will focus on the transformative impact of AI across credit markets, operations, compliance, and customer engagement.

As always, the CCTA will champion proportionate regulation, fair treatment of firms, and policies that preserve access to sustainable credit for the consumers who need it most.

This year has reminded us just how important it is for smaller lenders to have a strong, collective voice. The challenges have been significant, but so too has the progress we’ve made – together.

Thank you to all our members, partners, and supporters. Your insight, your feedback, and your commitment to serving customers fairly are what make our work possible.

Here’s to a purposeful and productive 2026.