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My PCP Claim

Close Brothers · Škoda

Škoda finance with Close Brothers

Check whether your Škoda agreement arranged through Close Brothers between 2007 and 2024 is eligible under the FCA's Consumer Redress Scheme.

Takes under 60 seconds. No documents needed. No win, no fee*.

About Close Brothers

Close Brothers has set aside £300 million for motor finance redress. Close Brothers estimated in April 2026 that the scheme as published would result in a pro-forma provision of approximately £320 million on a post-PS26/3 basis, compared to its existing IAS 37 provision of £294 million as at January 2026. The provision remains under review.

Named in both the Court of Appeal ruling (October 2024) and the Supreme Court judgment [2025] UKSC 33 (Hopcraft v Close Brothers). One of two lenders at the centre of the landmark ruling. Has suspended new motor finance lending while the review proceeds. Accepted the FCA's scheme in 2026 and confirmed it will not challenge.

Current scheme status

Accepted scheme; not challenging. Has suspended new motor finance lending.

Škoda and motor finance

Škoda is Volkswagen Group's value-mainstream brand in the UK, offering VW Group engineering at a lower price point; growing volumes throughout the scheme period.

PCP and HP were both used across the Škoda range, with Volkswagen Financial Services active through Škoda's franchised dealer network. Note that VWFS is currently challenging the FCA's scheme in the Upper Tribunal.

Skoda's value-for-money positioning attracted buyers who were often more cost-sensitive than equivalent VW or Audi purchasers, making the interest rate applied to their finance particularly impactful. PCP and HP were both common, with average agreement values ranging from approximately £9,000 on a Fabia to £27,000 on a Kodiaq. VWFS operated through the Skoda dealer network alongside broad market lenders, and Skoda's growing volume through the scheme period generated a significant number of potentially affected agreements.

Common Škoda models in scope

  • Škoda Fabia

    Škoda's supermini and highest-volume UK seller; sold consistently on PCP and HP throughout the scheme period across multiple generations.

  • Škoda Octavia

    Škoda's family hatchback and estate; consistently strong UK volumes on PCP and HP throughout the scheme period, popular for its value-for-money VW Group package.

  • Škoda Superb

    Škoda's flagship executive car; above-average agreement values in eligible cases, sold consistently on PCP through the scheme period.

  • Škoda Yeti

    Škoda's original compact SUV sold from 2009 to 2017; PCP and HP agreements from this period may fall within scope where commission was not properly disclosed.

  • Škoda Karoq

    Replaced the Yeti in 2017; sold predominantly on PCP from launch to the scheme end date.

  • Škoda Kodiaq

    Škoda's large family SUV launched in 2017; above-average agreement values given the higher vehicle price, predominantly sold on PCP.

Are you eligible?

You may be eligible to claim against Close Brothers if all of the following apply:

  • You took out a PCP or HP motor finance agreement between 6 April 2007 and 1 November 2024.
  • The finance was arranged through a UK dealer or broker, on a regulated agreement.
  • The agreement was for a car, van or motorcycle for personal use.
  • You can identify yourself, we can trace the agreement details on your behalf.

What makes an agreement eligible?

  • A Discretionary Commission Arrangement (DCA) was in place and was not properly disclosed to you. Under a DCA, the dealer could increase your interest rate to earn a larger commission from the lender without telling you.
  • The commission paid to the dealer was unusually high — amounting to at least 39% of the total cost of credit and 10% of the loan — and was not properly disclosed.
  • There was a contractual tie giving the lender exclusivity over your finance, which was not made apparent to you.

What you could receive

The FCA has confirmed the average payout under the scheme is £829 per agreement. Individual outcomes vary depending on the size of your agreement, the commission charged, and how long the finance ran. If you financed more than one vehicle through Close Brothers, each agreement can be assessed.

How it works

  1. 1

    Tell us your basics

    Enter your name and a few details. We do not need finance documents to start, our team will trace historic agreements on your behalf.

  2. 2

    We assess your agreements

    We check what we find against the FCA scheme criteria and tell you which agreements are likely in scope, including any you may have forgotten.

  3. 3

    We pursue the right route

    Where the scheme offers the best outcome, we run it for you. Where independent litigation could produce a better result, we say so honestly and explain why.

Ready to check your Škoda agreement with Close Brothers?

Takes under 60 seconds. No documents needed. No win, no fee*.

Frequently asked questions

Did Close Brothers use Discretionary Commission Arrangements on Škoda finance?
Close Brothers was named in the Supreme Court's landmark motor finance judgment in August 2025. Like most motor finance lenders operating before the FCA ban in January 2021, Close Brothers operated commission arrangements with dealers. If your Škoda finance agreement was arranged through Close Brothers before that date, there is a real possibility a commission arrangement affected the interest rate you were charged.
Which Škoda models are covered?
Any Škoda agreement financed through Close Brothers between 2007 and 2024 may be in scope, including models such as Fabia, Octavia, Superb, Yeti, Karoq and Kodiaq. Eligibility depends on the specific agreement, not the model.
Can I do this myself?
Yes. You can contact your lender directly to make a complaint, or refer your claim to the Financial Ombudsman Service (FOS) yourself for free. The FCA's Consumer Redress Scheme is also designed to be accessible without legal representation.
Will making a claim affect my credit score?
No. Making a claim will not affect your credit score. This is a separate process from your credit history.
Do I need to find old paperwork?
No documents are required to get started. We can trace your finance agreements using basic personal details.
What if my lender has been taken over or has exited the market?
This is common for agreements going back to 2007. If the original lender has been acquired, merged, rebranded, or has exited the market, the successor firm typically inherits liability for historic agreements. We handle this on your behalf.

Related information

Financed a car between 2007 and 2024?

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