02 March 2021

Lookers will not be fined by the Financial Conduct Authority following the investigation by the regulator into the retailer for possible finance mis-selling.

Lookers has reported that FCA has closed the investigation relating to sales processes used between 1 January 2016 and 13 June 2019.

Closing the case, the FCA advised Lookers that it does not intend to use its statutory powers to apply any sanction against the group in relation to the matters under investigation. However, the FCA made its concerns clear relating to the historic culture, systems and controls of the group.

Lookers CEO Mark Raban

A statement by the retailer added: “The Lookers board fully accepts the FCA’s comments and is committed to continue the progress made to date in transforming both culture and the customer experience. The group continues to have an open and cooperative relationship with the FCA supervisory team.

“Having already invested in a major remediation plan, including new systems, controls and process improvements, the Board remains fully committed to the Group’s ongoing investment programme, driving the creation of the right culture, working towards an industry leading customer experience.”

Lookers will now release the provision of £10.4m which was made in relation to any potential liabilities arising from the investigation.

Mark Raban, Lookers CEO, said: “It is an important time for Lookers as we emerge from a difficult period dealing with both the challenges of our legacy issues and Covid. We are pleased that the FCA has decided to close its investigation and we can now look forward and continue to build our business for the benefit of our customers and other stakeholders.”

Tags: FCA, Lookers