New FCA financial regulations will not benefit supermarkets, banks and other direct lenders over dealers, according to Richard Hoggart, managing director, DSG Financial Services.

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“Top dealers have consistently shown they are able to adapt to changing legislation,” he said. “The banks have done nothing to convince anyone that they can absorb change.

“They continued to mis-sell payment protection insurance regardless of the FSA regulation to the tune of tens of billions of pounds of refunds. Dealers have paid out relatively minimal amounts of refunds, having embraced the paperwork standards that came in very quickly.”

Hoggart said for most leading dealers, the FCA will be about stiffening resolve and improving their ability to demonstrate and report on their performance rather than mass change.