7th Apr 2026 14:50
Aldermore Group PLC
Incorporated in England and Wales
Registration number 06764335
Date: 07 April 2026
MOTOR FINANCE UPDATE
Further to the publication of the FCA's Policy Statement on the final rules for an industry wide redress scheme for motor finance, Aldermore Group PLC (the 'Group' or 'Aldermore') has now undertaken a preliminary assessment of the implications and impact of the final rules. Further to this analysis the Group expects to increase its existing provision from £73.1m to £280.0m, resulting in a pre-tax charge of £206.9m1.
The Group's2 reported CET1 ratio - including unaudited profits - for the six months ended 31 December 2025 was 15.5%. On a proforma basis, the additional provision would have reduced the reported CET1 ratio post tax by 143 basis points at that time. The Group remains well-capitalised compared to its target CET1 ratio range of 13-14%, and with significant headroom to its regulatory minimum CET1 ratio of 9.74%.
The Group is itself a wholly-owned subsidiary of FirstRand Group ('FirstRand') which today announced that following the analysis of the impact of the redress scheme, the business case for FirstRand to own and operate a UK consumer finance entity is outside of FirstRand's risk appetite. The Aldermore Board will work closely with FirstRand and respective regulators to ensure an orderly ownership transition that will support Aldermore's growth ambitions going forward. In the meantime, the Bank remains committed to its strategy to continue to drive significant positive outcomes for all of our stakeholders.
1. The estimated financial impact included in this announcement is unaudited, remains subject to review and subject to change given complexity of the calculation and underlying scheme details.
2. The Group comprises Aldermore Bank PLC and MotoNovo Finance Limited. The provision relates to MotoNovo Finance Limited.
Ends
This announcement contains inside information for the purposes of Article 7 of UK MAR, and was authorised for release by Louise Britnell, Chief Financial Officer.
FURTHER INFORMATION
For further information, please contact:
Joseph Godsmark
Head of Debt Capital Markets and Capital Management
E-mail: [email protected]
Telephone: +44 7789 264250
Aldermore Group
Aldermore backs more people to go for it, in life and business. We champion equality by supporting and getting finance to the people who want to get on in life; building businesses, buying property, and purchasing vehicles. The Group consists of two operating companies, Aldermore Bank plc and MotoNovo Finance Limited. Aldermore Bank provides finance to business owners, homeowners, and landlords, and supports savers. It operates exclusively online, by phone and through networks. MotoNovo Finance helps people buy their next car, van, or motorcycle. Aldermore Group is part of FirstRand Group, one of the largest financial services groups in Africa by market capitalisation.
For more information, please visit aldermore.co.uk / motonovofinance.com
Follow us on X: @AldermoreBank @AldermoreNews @motonovofinance
Follow us on LinkedIn: Aldermore Bank / MotoNovo Finance
Aldermore Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial
Conduct Authority and the Prudential Regulation Authority. (Financial services register number: 204503).
Registered office: Apex Plaza, Forbury Road, Reading, RG1 1AX. Registered in England. Company no. 947662. MotoNovo Finance Limited is authorised and regulated by the Financial Conduct Authority.