Top consumer lawyers have slammed the BBC's Morning Live after it refused to back down on false statements made on live TV.
The broadcaster has come under fire after one of its presenters dismissed claims that motorists could receive average compensation payouts of more than £1,800 from the car finance mis-selling scandal.
This was despite evidence later supplied by the law firm showing court awards averaging exactly that amount.
The dispute centres on the rapidly developing car finance scandal, which could ultimately cost lenders billions of pounds in compensation.
Kevin Durkin, a director at HD Law, is a prominent figure in the litigation and successfully represented Marcus Johnson in the landmark Supreme Court case against FirstRand Bank that helped establish key legal principles in the motor finance saga.
During a segment discussing car finance compensation, financial journalist Iona Bain showed a Facebook advertisement, paid for by HD Law, and told viewers:
"It's saying that the average car finance compensation that has been paid is going to be over £1,800.
"I'm just going to say it: that's not true.
"It's not true."
The comments were made while discussing online advertisements encouraging motorists to check whether they had been affected by the UK's biggest financial mis-selling scandal since PPI.
She advised viewers to use the Financial Conduct Authority’s claim scheme. This is despite the fact that the FCA scheme only applies to about 45% of claimants; it offers a much lower amount (£829) and is currently subject to judicial review, which means it is delayed and may even be cancelled.
The inaccurate remarks have angered HD Law, one of the firms at the forefront of the motor finance litigation, which says the average figure was not only accurate but supported by multiple successful court judgments.
HD Law contacted the BBC to seek a right of reply. They said that the Morning Live segment risked discouraging consumers from pursuing legitimate claims by suggesting such compensation figures were misleading.
The firm argued that the advert featured during the programme was "wholly true and accurate" and that viewers were effectively told to disregard information which was supported by real court outcomes.
Bain replied to HD Law, stating that the examples reviewed by the programme "did not have the evidence or track record to back up the figures they quote" and pointed to regulatory action against another, completely unconnected claims management company.
However, she also indicated she was willing to review information about cases already won by HD Law, asking for details of judgments and compensation awards.
The firm subsequently sent Bain examples of 20 successful cases which demonstrate average compensation awards was, in fact, £1,846 per claimant – identical to the figure dismissed on national television. But no apology, retraction or explanation has been received.
Kevin has also offered to appear on Morning Live to properly explain the legal situation with the claims and what options can be available to consumers, but the BBC has not responded.
Kevin Durkin, Head of Legal Practice for HD Law, said: “The BBC showed an advert from us and claimed that the figure contained in the ad was “not true’. When it patently is true.
“We have since supplied evidence to the journalist to categorically and unequivocally prove that the figures are true. The average payout we have won so far for our clients is more than £1,800.
“For the BBC to denigrate a business making truthful statements under the guise of consumer advice is galling at best and grossly inaccurate at worst.
“We are a law firm that has been established for more than ten years and been at the forefront in acting for consumers who have been the victim of unfair relationships with their lenders.
“We have a 100% record in the Court of Appeal and Supreme Court, and it was us fighting for Mr Johnson successfully in the Supreme Court that has paved the way for consumers to now look to receive billions of pounds in compensation.
“The journalist has said that, because we were not named, we have no right of reply. But they used a social media advertisement linked to our business and advised people that it was not true. However, it is more about the general public deserving to be supplied with accurate information about their potential claim.”
Kevin Durkin, is the only solicitor who uncovered the national mis-selling scandal involving car loans and successfully took a car finance case to the Supreme Court.
Kevin has always maintained the FCA proposed redress scheme (which is currently the subject of a legal challenge and therefore still not enacted) is weighted too much towards the lenders, which in turn means they do not have to pay as much compensation and can retain more profit obtained by acting illegally in light of Johnson.