Share
The FCA has confirmed that, subject to the outcome of the Supreme Court’s ruling expected in July 2025, it is likely to consult on an industry-wide redress scheme for customers affected by discretionary commission arrangements (DCAs). The scheme would be firm-led and designed to deliver fair, consistent, and efficient outcomes without relying on claims management companies.
What should you be doing now?
- Review your historical commission arrangements and assess potential exposure.
- Prepare operationally for a redress process, including data readiness and customer contact strategies.
- Engage with advisors to model redress scenarios
- Plan for resource mobilisation.
- Monitor FCA updates closely – a consultation is likely to follow within six weeks of the Supreme Court’s decision.
The pause on complaint handling remains in place until at least 4 December 2025, but proactive preparation is essential to stay ahead of regulatory expectations.
At Huntwood, we’re already supporting clients with:
- Commission remediation planning and execution
- Compliance reviews and regulatory health checks
- Design and implementation of redress programmes
- Outsourced complaint handling and remediation delivery
Contact Huntwood today to discuss your needs.
We’re thrilled to welcome Simon Brown to Huntswood as our new Advisory Lead on Consumer Credit. Simon brings over two decades of experience delivering compliance solutions to consumer finance firms, with a strong track record in designing, developing, and enhancing compliance frameworks.
He is a recognised expert in the FCA’s conduct rules for Motor Finance and Consumer Credit and has a deep understanding of what it takes to run a successful, commercially focused compliance programme. Simon’s expertise will be instrumental in helping our clients navigate regulatory challenges with confidence and clarity.
We’re ready to help you design and implement effective redress programmes and support all your compliance and regulatory requirements with confidence and care.