Summary
The Motor Ombudsman’s latest Insight Report shows a 14% rise in used-car disputes in 2025 versus 2024, amid nearly 8 million second-hand transactions in the U.K. Used cars represented 40% of all cases opened with the ombudsman, equivalent to about 0.2% of used-car sales (roughly 1 in 420). The data points to customer service shortfalls and engine-related failures as the main pressure points for retailers.
Key figures
- Used-car complaints up 14% year over year (2025 vs. 2024).
- Nearly 8 million used cars changed hands in 2025.
- Used cars accounted for 40% of all ombudsman cases.
- Approximate case rate: 0.2% of used-car transactions (~1 in 420 sales).
Top complaint drivers
- Customer service issues: 40% of used-car cases.
- Mechanical faults: 35%, with a strong emphasis on engine failures and related components.
Service friction points cited
- Undeclared vehicle modifications and incomplete histories at point of sale.
- Slow or absent responses to customer queries.
- Workshop-related problems, including vehicle damage during visits.
- Parts delays prolonging repairs and vehicle off-road time.
- Warranty coverage not aligning with customer expectations at claim stage.
Implications for retailers
- Focus on communication, transparency and process across sales and aftersales.
- Strengthen vehicle history verification and disclosure to preempt disputes.
- Provide clearer warranty explanations, exclusions and documentation up front.
- Set realistic repair timelines; provide proactive updates when parts are delayed.
- Invest in rigorous pre-sale inspections and condition reporting, especially for older or higher-mileage stock.
Context on dispute resolution
Chief Ombudsman Bill Fennell emphasized that high transaction volumes naturally drive complaint volumes, and that high-quality customer service is critical for a high-spend product like a car. Accreditation to the Vehicle Sales Code offers a structured alternative dispute resolution route, providing an impartial forum to resolve complaints and preserve customer relationships.
What’s missing from the data
The summary findings did not include regional or brand-specific breakdowns. Even so, the headline trends connect market volume to dispute volume and identify customer service performance as the leading indicator of risk.
Bottom line
The small overall share of transactions resulting in cases masks a meaningful absolute number of disputes in a high-volume market. The 2025 patterns show that gaps between pre-sale assurances and post-sale support—especially around engines, parts availability and warranty claims—can quickly erode trust unless retailers tighten communication and documentation end to end.
