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Drivers set for £700 compensation after car finance scandal

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MILLIONS of motorists across the UK could soon receive payouts averaging £700 each after the financial watchdog unveiled details of a long-awaited compensation scheme for car finance mis-selling.

The Financial Conduct Authority (FCA) announced that around 14 million car finance agreements, dating from April 2007 to November 2024, may be eligible for compensation — amounting to an estimated £8.2 billion in total redress.

Commission and contract concerns

The payouts relate to unfair commission arrangements between lenders and dealers, misleading information given to buyers, and contracts deemed to have disadvantaged customers.

In many cases, car dealers were rewarded with higher commissions for arranging loans at higher interest rates — a practice banned by the FCA in 2021. These so-called discretionary commission arrangements (DCAs) led many drivers to overpay for finance deals on both new and second-hand vehicles.

Some buyers also signed contracts where the dealer’s commission made up as much as 35% of the total cost of credit, with customers often unaware of the mark-up.

FCA chief executive Nikhil Rathi said it was “time customers got fair compensation” after years of unfair treatment.

How the scheme will work

If approved, lenders will first contact drivers who have already made complaints. Those who have not yet done so will be written to within six months of the scheme’s launch and invited to opt in. Consumers will then have six months to decide whether to participate.

Anyone not contacted — for example, because their lender no longer holds their details — will have a year from the start of the scheme to make a claim directly.

The compensation process will be free to access, and those who have already lodged complaints are expected to receive payments sooner.

Legal options remain open

Drivers will still have the option to take their case to court rather than accept the FCA scheme, though the regulator warns that court outcomes could vary.

However, the Supreme Court’s ruling in August is likely to limit the scope of claims that can be pursued, meaning some drivers may recover less than expected.

Consumer lawyer David Bott, whose firm represents claimants in ongoing legal action, questioned whether the proposed payouts go far enough.

“The average figure of £700 per agreement raises serious questions about whether this scheme will truly reflect the financial harm suffered by consumers,” he said.

The FCA previously suggested payouts could reach £950 per deal but now says the figure will be closer to £700 on average — still a significant sum for millions of drivers affected by one of Britain’s largest finance scandals.

Business

Capestone Organic Poultry Ltd redevelopment scheme backed

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PLANS by one of the largest independent organic poultry producers in Wales to extend their Pembrokeshire facilities have been given the go-ahead by the national park.

In an application to Pembrokeshire Coast National Park, Walwyn’s Castle-based Capestone Organic Poultry Ltd, through agent Harries Planning and Design Management,sought permission for a new storage shed on site.

A supporting statement said: “Capestone Organic Poultry Ltd is an established farming enterprise (established over 20 years ago) and has grown into a large independent poultry producer, processing between 40 and 50,000 chickens a week.

“A large range of activities associated with the rearing and killing of poultry (chickens and turkeys), the preparation of various products and subsequent dispatch of products occurs within Capestone Farm.

“Capestone Organics has also expanded into the processing of organic beef, lamb, pork, and salmon. The complex comprises a mixture of conventional portal frame sheds and stone buildings throughout the complex, which have been expanded and altered over the years as the business has grown.”

It added: “The proposed storage shed is to be located adjacent to the existing loading bay located to the north of the complex. The proposed shed will be a conventional portal framed structure, with insulated box profile sheet elevations to match existing buildings on site.

“The existing access to the site is to be retained, and there will be no increase in capacity of workers on site. The proposed shed will allow better access to storage, will help to facilitate daily operations and will help the business run more efficiently.”

An officer report recommending approval said Capestone Organic Poultry Ltd is one of the largest independent organic poultry producers in Wales; the proposed building measuring approximately 30 metres in length, 15 metres in width, and six metres to the ridge, providing a total floor area of approximately 450 square metres.

It added: “The proposed storage shed at Capeston Farm is considered an appropriate development within the established farm complex. It respects the landscape character [of St Bride’s Bay], preserves nearby heritage assets, and safeguards residential amenity.”

The application was conditionally approved by park officers.

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Business

WestJet announces new direct Cardiff–Toronto route

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First Wales–Canada air link in nearly twenty years – and a major boost after Qatar setback

CARDIFF AIRPORT has announced a significant expansion of its long-haul offering with confirmation that WestJet will launch a new direct service to Toronto next summer.

The non-stop flights, beginning on 23 May 2026, will create the first direct air link between Wales and Canada in nearly two decades.

A major boost after Qatar Airways withdrawal

The announcement comes after a difficult period for the airport, which suffered a major setback when Qatar Airways suspended its Cardiff–Doha service during the pandemic.
The route had operated for only two years and was widely viewed as transformational for Wales, offering global connectivity and prestige. While Qatar Airways has since resumed all of its other UK services, the Cardiff route has never returned — a loss that has been felt across the tourism and business sectors.

WestJet’s decision to select Cardiff as its exclusive airport in Wales and England for 2026 therefore represents a significant vote of confidence and a crucial step in rebuilding long-haul capacity.

Four flights a week

WestJet will run four weekly flights between Cardiff and Toronto Pearson International Airport. Travellers from Wales, the South West and the Midlands will gain a fast, convenient gateway to Canada, with easy onward connections to Vancouver, Calgary, Montreal and other North American destinations.

The new service forms part of the airline’s strategic UK growth plan and marks a key milestone in Cardiff Airport’s post-pandemic recovery. Passenger numbers have been steadily rising towards one million annually, supported by renewed investment and expanding leisure and long-haul options.

Strong support

Jon Bridge, Chief Executive Officer of Cardiff Airport, said the route was “a major step forward” for Wales.
“We’re incredibly proud that WestJet has chosen Cardiff Airport as a new UK destination for summer 2026,” he said.
“This Toronto route is an exciting milestone in our growth and a significant moment in reconnecting Wales with North America. After the loss of the Qatar Airways service during the pandemic, this represents a very welcome boost for our long-haul ambitions.”

Chris White-DeVries, Senior Airport Affairs Manager at WestJet, said the airline saw “huge potential” in Wales.
“Cardiff is a vibrant capital with a proud and rich history. This route will allow Canadian travellers to experience Wales’ incredible coastline and culture, while giving passengers here seamless access to Canada and beyond.”

Economic opportunity

First Minister Eluned Morgan MS welcomed the development, noting that Canada remains an important trade partner.
“This is good news for passengers, businesses and our tourism industries,” she said. “Canada is an export market worth over £300m a year, and this strengthens our reach ahead of the Wales Investment Summit on 1 December.”

Timely launch

The new route arrives just months before Canada co-hosts the FIFA World Cup 2026, offering new opportunities for tourism, business and cultural exchange between Wales and North America.

Toronto’s extensive onward network means long-haul travel from Wales will soon be easier and more accessible than at any point since the Qatar Airways era.

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Business

Goodwick salon celebrates triple win at national awards

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A GOODWICK hair salon is celebrating after scooping three major honours at a national ceremony in London.

Michelle Summers Davies, owner of MD Hair in Goodwick, Pembrokeshire, was named winner of Best Colour Salon, Best Boutique Salon, and Best Customer Service at the Salon Awards – an annual event recognising excellence and innovation across the UK hairdressing industry.

The awards are judged regionally by experienced industry professionals, with entries assessed on technical ability, creativity, client care and the overall salon experience.

Michelle’s salon impressed judges with its high standards, customer focus and consistent delivery of high-quality results.

Speaking after the ceremony, she said: “I am over the moon to receive these awards as they reflect years of passion, hard work, and dedication from our entire team. It’s a true celebration of our craft, our creativity, and our community. Thank you to our clients for supporting us every step of the way – we will continue delivering outstanding experiences for our clients.”

The Goodwick stylist is also a finalist for Wales & South West Hairdresser of the Year at the British Hairdressing Awards, which take place at the Grosvenor House Hotel on Park Lane next week.

Michelle has worked in the industry for more than thirty-five years and has been part of the Matrix UKI artistic team for nineteen years, contributing to national campaigns and salon education across the UK. She has also worked on the hair teams for the National Television Awards and The X Factor.

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