Secure Trust
Bank PLC
LEI:
213800CXIBLC2TMIGI76
28 October
2024
SECURE TRUST BANK PLC
("STB" or
the "Company")
Vehicle Finance
Update
STB notes the recent Court of Appeal decisions
on Johnson and Wrench v FirstRand Bank Ltd and Hopcraft v Close
Brothers Limited relating to motor commission arrangements. The
Company also notes the intention of these lenders to appeal the
decisions to the Supreme Court.
The Court of Appeal has held that motor dealers
acting as credit brokers owe certain duties to
disclose to their customers commission payable
to them by lenders and obtain the customers' informed consent, and
that lenders will be liable for dealers' non-compliance. This sets
a higher bar in relation to commissions than had been understood to
be required across the vehicle finance industry, before the Court
of Appeal's decisions. These decisions relate to commission
disclosure and consent obligations, which go beyond the scope of
the current FCA discretionary motor commissions review.
STB is assessing the potential impact of the
decisions, as well as any broader implications, pending the outcome
of the appeal applications. The Company will update the market, if
and as appropriate.
Enquiries:
Secure Trust
Bank PLC
David McCreadie, Chief Executive
Officer
Rachel Lawrence, Chief Financial
Officer
Phil Clark, Investor
Relations
Tel: 0121 693 9100
Investec Bank
plc (Joint Broker)
David Anderson
Christopher Baird
Maria Gomez de Olea
Tel: +44 (0)20 7597 5970
Shore Capital
Stockbrokers (Joint Broker)
Mark Percy / Angus Murphy (Corporate
Advisory)
Guy Wiehahn (Corporate Broking)
Tel: +44 (0)20 7408 4090
Camarco
Ed Gascoigne-Pees,
Geoffrey Pelham-Lane, Sean
Palmer
securetrustbank@camarco.co.uk
Tel: 07591 760844
About STB
Secure Trust Bank is an established,
well‐funded and capitalised UK retail bank with over 70‐years of
trading history. Secure Trust Bank operates principally from its
head office in Solihull, West Midlands, and has 897 employees
(full‐time equivalent) as at 30 September 2024. The Group's
diversified lending portfolio currently focuses on two
sectors:
(i)
Business finance through its Real Estate Finance and Commercial
Finance divisions; and
(ii)
Consumer finance through its Vehicle Finance and Retail Finance
divisions.
Secure Trust Bank PLC is authorised by the
Prudential Regulation Authority and regulated by the Financial
Conduct Authority and the Prudential Regulation
Authority.
Secure Trust Bank PLC, Yorke House, Arleston
Way, Solihull, B90 4LH.