Highlights 

  • FCA releases consultation paper on proposed redress scheme for historical motor finance commissions. 
  • Santander UK delays Q3 2025 results pending clarity on potential regulatory implications. 
  • Bank states capital and liquidity remain unaffected even under severe downside scenarios. 

Santander UK Group Holdings plc (LSE:SANB) acknowledged the Financial Conduct Authority’s (FCA) publication of a consultation paper proposing a redress scheme connected to historical motor finance commission arrangements. 

The proposal follows the Supreme Court’s ruling on Discretionary Commission Arrangements (DCAs) issued on 1 August 2025. Santander UK is reviewing the consultation to determine its implications, noting that the FCA’s proposed approach differs in several respects from the Supreme Court’s findings. The legal basis for the relevant redress period remains uncertain, as the proposal is still under consultation. 

Due to these uncertainties, there is no confirmed scope, methodology, or timeline for any eventual redress scheme that may be implemented. 

Delay in Q3 2025 Results Announcement 

Santander UK decided to postpone its scheduled third-quarter 2025 results announcement, which was due on 29 October 2025. The delay allows time for greater clarity on the FCA’s proposals and their potential impact on the bank and the wider market. The company expects to provide further updates with its fourth-quarter 2025 results. 

According to the statement, despite the uncertainties surrounding the FCA’s consultation, Santander UK does not expect any increase to its existing provisions—under even a severe downside scenario—to have a material effect on its capital or liquidity positions, operations, financial condition, or prospects. 

Engagement with Regulators and Stakeholders 

Santander UK reaffirmed its commitment to ensuring fair customer outcomes and stated it will continue to engage constructively with the FCA, HM Treasury, and other stakeholders during the consultation process. 

Commenting on the developments, Santander UK Chief Executive Mike Regnier said: 

“We believe that the level of concern in the industry and market is such that material changes to the proposed FCA redress scheme should be an active consideration for the UK Government. Without such change, the unintended consequences for the car finance market, the supply of credit and the resulting negative impact on the automotive industry and its supply chain could significantly impact jobs, growth and the broader UK economy. This could also cause significant detriment to the consumer. 

“While the FCA considers the outcome of its consultation, we believe it is our duty to do all we can to secure an orderly and fair outcome from this consultation process. This is not a question of investor versus customer interest, quite the reverse. What is at stake is the supply of credit that customers need and that supports a very important sector for the economy.” 

Share Performance

SANB's shares were trading at GBX 145.00 per share on 29 October 2025, up 0.35% from its previous close of GBX 144.50.