Santander UK sets aside $375 million to cover possible motor finance claims
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 20 2024
0mins
Source: Reuters
Santander UK's Financial Provision: Santander UK has set aside £295 million ($375 million) to cover potential costs related to a probe into motor finance commissions, following a ruling that car dealers must obtain customer consent for commissions from banks.
Impact on Financial Performance: The provision has significantly impacted Santander UK's third-quarter profits, dropping pretax profit to £143 million from £413 million in the previous quarter, while total industry compensation costs could reach up to £30 billion according to Moody's.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
