- Changan’s Avatr brand to launch as separate franchise in 2026
- Vines, Listers and BMW Financial Services see profit decline
- Autotrader reveals September rise in discounts
- Thurlow Nunn’s new digital agency
- WEEK AHEAD: Pinewood Technologies interims
- 270k motorists to receive car finance compensation
- Pension to be worth more than annual tax-free allowance
- Hyundai, GM to co-develop vehicles
- More than 60% new car discounts now in China
- OPINION: FCA wakes up to redress
Changan’s Avatr brand to launch as separate franchise in 2026
New Chinese manufacturer Changan, which launched its Deepal brand and S07 electric SUV this week, will treat its luxury Avatr brand as a separate franchise when it arrives in the UK at the end of next year.
Speaking exclusively to Auto Sunday, Changan’s UK managing director Nic Thomas said: “Avatr will come in its own right toward the end of next year and stand alone.
“I’m not directly responsible for Avatr, so they’ll make their own name. We’re working with them and seeing how we can support them.”
Changan is, like MG, state-owned and has several sub-brands. It’s first sortie into the UK is with Deepal, but it also operates under the Changan name without a sub-brand, and Kaicene, an LCV brand.
Thomas didn’t give an exact volume aspiration, saying only that Changan aimed to be a top-10 make in the “next few years”. At this level it would account for at least 4.5% of the UK new car market.
Thomas said the dealer network, which will reach 60 in the next few months, would hit 100 showrooms through 25 retail partners by the end of 2027. He added the growth from 60 to 100 would come as volume increased.
* Read the full interview with Nic Thomas in the October issue of Auto Market Insight: subscribe here
Vines, Listers and BMW Financial Services see profit decline
BMW Financial Services saw turnover reach £1bn for the year ended December 2024, up from £834m in the previous year. However, profit before tax fell from £229.3m to £39.1m. No dividends were paid; a £150m dividend to BMW UK Holdings was made in 2023.
The company now holds a £206m provision for historic commission claims. The ultimate outcome is “highly uncertain” and could be “materially higher or lower” than the provision held.
Meanwhile, BMW specialist retailer Vines Group saw profit before tax fall from £2.9m to £525k in the year ended December 2024. Turnover increased slightly, from £201m to £210m. The company had net assets of £15.8m, which the directors consider to be “an adequate financial position”.
Listers Group has also reported results for the year ended March 2025. This shows turnover broadly flat at £1.3bn, with profit before tax down from £18.3m to £14.8m. The directors said the BMW/Mini, Mercedes-Benz, Seat/Cupra, Toyota and Volkswagen divisions made the most significant contribution to group profit.
Dividends totalling £36m were proposed and paid.
Autotrader reveals September rise in discounts
OEMs have increased the level of discounts on brand new cars, Autotrader data has revealed. The average new car discount across all fuel types reached 10.1% in September, with EV discounts increasing from 11.4% in August to 11.8% in September.
The Electric Car Grant has fuelled a 4% increase in visits to its new car platform, with the Ford Puma Gen-E becoming one of the most in-demand new EVs. The Jaecoo 7 topped the chart for overall enquiries for the second month running – ahead of the Volkswagen Golf and Range Rover.
* Read a full analysis of the new Ford Puma Gen-E in the latest issue of Auto Market Insight: subscribe here
Thurlow Nunn’s new digital agency
Thurlow Nunn has announced a new digital agency. Independent shop Kinase is known for its work with Purplebricks, Dreams and Goldsmiths. It will handle all UK PPC activity. The aim is to join up all Thurlow Nunn’s marketing channels, said group marketing director Dev Valand.
WEEK AHEAD
Wednesday, Pinewood Technologies interims
30 September, new date for Close Brothers preliminary results for the year ended 31 July. They were due to be published on Tuesday, but the auditor requested additional time. Shares fell 5.9% on the news
DATA INSIGHT
270k motorists to receive car finance compensation
£200m: The amount that an estimated 270k motorists will receive in compensation for historic motor insurance claims that were underpaid. £129m has already been paid to nearly 150k customers.
Pension to be worth more than annual tax-free allowance
4.7%: Rise in state pension in August 2026, thanks to the triple lock guarantee. Unless it is abandoned, a full state pension will be worth more than the annual tax-free income allowance from 2027, meaning most pensioners will have to pay tax.
GLOBAL AUTO
Hyundai, GM to co-develop vehicles
Hyundai and GM will co-develop five vehicles for the Americas starting from 2028, Automotive News reports. Products will include an EV van for North America, and a compact crossover, sedan and pickup, plus a midsize pickup, for Central and South America.
More than 60% new car discounts now in China
Zcar, a Chinese business that buys in bulk from OEMs and retailers, is offering around 5,000 vehicles with some extraordinary discounts. They include 50% off locally-made Audis and more than 60% off an FAW SUV, reports Reuters. The country is currently building more vehicles than the local market can absorb, and “most Chinese dealers can’t make money” according to a recent industry survey.
OPINION
FCA wakes up to redress
This week’s FCA motor insurance settlement – insurers paying approximately £740 to each of 270,000 drivers for undervalued write-offs – is more than just redress for motorists. It signals a possible route for the work the regulator is doing on discretionary commission arrangements.
After the Supreme Court’s Johnson ruling earlier this year, and despite its narrow legal scope, the FCA has made clear that a broad redress scheme is coming.
So what does the insurance case teach us about what finance companies, dealers and car makers should expect?
First, transparency matters. In the insurance case, automatic deductions for “pre-existing damage” or assumed depreciation undermined trust, especially among owners who maintained their cars well. The assumption of harm (or cost saving) without solid disclosure or individual assessment proved untenable. Finance firms should see this as an analogous risk: where commission size, or the fact of commission, is hidden or not adequately explained, that can trigger regulatory findings of unfairness. The FCA’s criteria in the Johnson judgment already include size of commission, nature of disclosure and whether there was a tie-in that misled customers.
Second, firms should expect rigorous oversight of past business. Just as insurers are being asked to review historic claims and make compensation, motor finance providers will be required to sift through many years of agreements to determine whether customers were under-charged (or overcharged) in terms of costs driven by hidden commissions. Provisioning, legal risk and reputational risk all feature heavily.
Third, the scale of redress will be large and operationally complex. The FCA estimates for the motor finance redress scheme are £9bn-£18bn, depending on the final scope. Just as insurers had to overhaul their valuation practices and systems, finance firms may well need to audit their disclosure scripts, training, panel of lenders, commissions structures and how those map to customer outcomes.
The risk is not just a regulatory fine or compensation bill, but erosion of trust. Customers today demand fairness and regulators are aligning with that demand.
The insurance compensation case isn’t isolated. It reflects the FCA’s broader posture of enforcing fairness and consumer-duty now and retrospectively, even if it is a bit late to the game.
Tristan Young
Editorial Director
Get in touch: tristan@autosunday.co.uk
ISSN 2977-6597