FCA publishes evaluation of rent-to-own price cap
Regulatory Updates | 02/12/20
The FCA has published an evaluation of its price cap on rent-to-own (RTO) products, which came into force in April 2019.
The evaluation shows that the price cap has been effective in reducing the prices charged by RTO firms. We estimate that the cap led to an average fall in prices of 19% for the two largest firms that were in the market when we intervened, bringing RTO prices much closer to the high-street average.