Crackdown on spam texts about car finance claims: ICO raids five firms

The UK’s Information Commissioner’s Office (ICO) has executed search warrants at homes and businesses linked to five companies in London, Liverpool, Bolton, Burnley and Swansea, seizing laptops, mobile phones and documents as part of a crackdown on nuisance marketing messages about car finance compensation.

More than 12 million complaints about spam texts have been filed by the public since September 2025 as claims management companies (CMCs) try to cash in on the billions of pounds set to be paid to motorists who were mis-sold car loans. In March, the Financial Conduct Authority (FCA) announced a £7.5bn industry-wide compensation scheme, but it was partly suspended due to legal challenges. The FCA had expected to pay out an average of £829 to victims this year, but a court ordered the regulator to suspend parts until a hearing in December or February.

Andy Curry, head of investigations at the ICO, said: “People are fed up with being bombarded by unwanted calls, texts and emails about car finance claims, and we’re taking action.” The raids “send a clear message to the claims management sector: comply with the law or expect to hear from us”.

Items seized include electronic devices such as laptops and mobile phones, plus a large number of documents. The five companies are believed to have sent a combined 170 million texts to the public between September 2025 and May 2026. The ICO is working with the FCA, the Advertising Standards Authority and the Solicitors Regulation Authority to tackle poor practices.

More than 1,200 misleading adverts have been removed or amended since January 2024 as a result of the FCA’s work. The ICO has powers to apply for warrants under the Privacy and Electronic Communications Regulations. The FCA has stressed that consumers can complain for free using a template letter on its website, and this week launched a nationwide advertising campaign until 6 September.