Company: BCS
Filing Date: 2025-10-22
Form Type: 6-K
Source: 0001654954-25-012038
Chunk: 1

Company: BARCLAYS PLC
Filing Date: 2025-10-22
Form: 6-K
Chunk 1
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 CFSL from £90m to £325m. The additional charge of £235m will be recognised in Barclays' Q3 2025 results and is estimated to reduce Barclays PLC's Common Equity Tier 1 (CET1) capital ratio by approximately 5 bps. The charge reflects the increased likelihood of a higher number of motor finance cases falling within the scope of the scheme contemplated by the consultation paper (which covers all discretionary commission arrangements), the FCA's proposed approach to customer engagement, and the likelihood of a higher than anticipated level of customer redress reflecting the FCA's proposed methodology for the calculation of redress, which is less closely linked to actual customer loss (if any) than previously anticipated. Barclays ceased lending in the motor finance market in late 2019, and the above estimates follow the FCA proposal that historical operations from April 2007 fall within the scope of the FCA redress scheme.

Barclays notes that the final terms of the compensation scheme remain uncertain pending responses to the consultation paper and publication of the FCA's Policy Statement and final scheme rules, which is currently expected in early 2026. Accordingly, the legal and regulatory outcomes and the nature, extent and timing of any remediation action, if required, remain uncertain. The ultimate financial impact could differ to the amount provided, which represents Barclays' reasonable estimate of the cost of redress based on the information available to Barclays, including the proposals as set out in the FCA's consultation paper, and applying a probability-weighted outcome that considers a range of scenarios.

Barclays is committed to providing fair redress to motor finance customers who have a valid claim against CFSL for loss. We are however, of the view that the scope of the scheme and proposed approach to redress outlined in the consultation paper do not accurately address actual loss (if any) suffered by customers and do not achieve a proportionate or appropriate outcome. Barclays intends to make representations to the FCA accordingly, to review the FCA's response carefully, and take such other steps as it deems appropriate to achieve a fair and just outcome.

For further information, please contact:

Investor Relations Media Relations

Marina Shchukina Jon Tracey

+ 44 (0) 207 116 2526 +44 (0) 7552214868

#### About Barclays
Our vision is to be the UK-centred leader in global finance. We are a diversified bank with comprehensive UK consumer, corporate and wealth and private banking franchises, a