Is the cost-of-living crisis over?

Published 20 February 2024

Over the last few weeks, we have seen a lot of news pieces and data released about the country’s financial health and the associated impact on households. Inflation, recession, borrowing, spending, they have all been mentioned. Another phrase we have heard a lot in recent times is the ‘cost-of-living crisis’.

Motor finance – February 2024

Published 15 February 2024

The agenda covered an update of FOS motor finance/commission complaints. We also looked at relevant legal cases and two FOS interim decisions on test cases. We provided feedback on CMC activity and discussed the FCA temporary changes to complaint handling timeframes in motor finance.

Next steps on Consumer Duty

Published 09 February 2024

We are now into the seventh month since the implementation of the Consumer Duty. We know that many firms continue with their efforts and focus on meeting the requirements of the Duty and achieving improved consumer outcomes. No doubt firms will agree that it has been an intensive journey thus far. It was always meant to be about delivering continuous improvement in customer outcomes, but now is also an appropriate time to remind firms of the upcoming requirements as to the next steps in that journey.

Commissions in motor finance

Published 08 February 2024

In the FCA’s findings, published in March 2019, the regulator found that discretionary commission arrangements (DCAs) meant consumers were paying approximately £300million a year in higher interest rates, generating £165million a year towards commissions for brokers. This was evidence of consumer harm, leading to a consultation with industry on addressing the harm identified by the regulator. The consultation, published in October 2019, proposed to ban discretionary commission models that unnecessarily increased motor finance costs for consumers.

What’s happening with motor finance commissions?

Published 01 February 2024

The issue of disclosure commission complaints is something we have been following in recent times as part of our work on motor finance. On 11 January the Financial Conduct Authority (FCA) announced that it would be undertaking work in the motor finance market – but on a different area- discretionary commission arrangements.

Claims Management Companies

Published 25 January 2024

This roundtable allowed members to share experiences of complaints involving CMCs. For many firms, CMCs have become part of everyday business. Some have targeted lenders in one sector and then moved on to others. As such, we regularly provide updates and recommend that firms talk to the FCA about poor experiences.

Changes in home credit

Published 22 January 2024

Back in the early noughties, the home credit market was under intense scrutiny for a lack of competition which led to the then Competition Commission investigating the sector. It was thought that it was difficult for consumers to compare products or switch between providers to find the best price. Following the investigation an order was passed that placed various conditions on the sector.

A look ahead at 2024

Published 09 January 2024

2023 was a busy year for the consumer credit sector and the CCTA. It saw the introduction of the FCA’s Consumer Duty, new research into the impact of illegal lending and further engagement with our key stakeholders- the FCA, the FOS and HM Treasury on a range of issues. Here we explore some of the developments we expect in 2024.

CMC Update (2024-1)

Published 08 January 2024

As is our established process, we regularly update our members on developments around Claims Management Companies (CMCs). In this first update of 2024, we would like to cover some developments from the end of 2023.

Motor finance (2024-1)

Published 04 January 2024

It was good to have our last motor finance roundtable of 2023 in early November. As has been the process, we report on the discussions a few weeks after the event and address the agenda items covered in a formal report. If there has been a significant update from the time of the roundtable, then we have also included details of this.

CCTA Inform: Winter 2023

Published 18 December 2023

CCTA Inform is an essential ‘easy read’ publication, exclusively available to members. This issue covers August 2023 to November 2023. During this period, we have collected details of legislation, regulatory updates and other announcements that may be of interest. Members should also ensure they are subscribed to our weekly CCTA Update email to be kept up to date with the latest industry news.

Winter 2023 Summit – Q&A

Published 18 December 2023

Thanks to everyone who attended our recent Winter Summit. We said we would provide a download link for the presentations at the CCTA Summit. The Summit featured presentations from industry experts, including Jeanette Burgess of Walker Morris, the FCA’s Cost of Living Team, and Chris Fitch of Bristol University. This briefing answers the questions that we didn’t have time to answer during the session.