U.K. Government Intervention in Car-Loan Court Ruling Seen as Unlikely -- Market Talk

Dow Jones
07/28

0900 GMT - The chances that the U.K. finance chief overturns the Supreme Court ruling on the car-loan probe to protect exposed banks are slim, Keefe, Bruyette & Woods say in a research note after reports suggested the treasury was considering such a move. The ruling on whether commission charged on car finance loans was lawful is set to land on Friday. Beneficiaries would include Lloyds Banking Group, Close Brothers, Santander UK and Bank of Ireland. "Whilst superficially attractive, we believe that the probability of such an intervention is low and would be an extraordinary step for any government in a free democracy," analysts Edward Firth and Elise Yu Ge write. It is almost unconceivable that the government would step in at the end of such a process and change the law to limit the plaintiff's rightful settlements, they say. (elena.vardon@wsj.com)

 

(END) Dow Jones Newswires

July 28, 2025 05:00 ET (09:00 GMT)

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