UK Supreme Court overturns ruling on motor finance commissions in win for banks

LONDON (Reuters) -The United Kingdom's Supreme Court on Friday overturned a landmark ruling on car finance commissions after an appeal by two lenders in a judgment that is set to ease the fears of banks about the extent of a redress scheme.

Supreme Court president Robert Reed said the car dealers who sold the vehicles and arranged the finance did not owe fiduciary duties to customers, reversing a surprise Court of Appeal ruling that sent shockwaves through the motor finance industry.

Reed said the Court of Appeal had "failed to understand that the dealer has a commercial interest in the arrangement between a customer and a finance company."

(Reporting by Sam TobinEditing by William Schomberg)