A court has ordered the FCA to suspend parts of the £9.1bn motor finance compensation scheme until a hearing in December or February, where it will address challenges from Volkswagen Financial Services, Mercedes-Benz Financial Services, Crédit Agricole Auto Finance and consumer group Consumer Voice. The scheme, introduced in March, was expected to start paying an average £830 this year to millions of borrowers overcharged through discretionary commission arrangements between 2007 and 2024; the suspension means lenders need not calculate or pay compensation under the scheme until the legal process concludes. If the scheme is overturned, the FCA may instead instruct lenders to resolve complaints individually, which it estimates could cost an additional £6bn and take three years.