BrightHouse float draws closer as it gets FCA nod

Prospects of a float for rent-to-own lender BrightHouse improved today as the City watchdog blessed a shake-up of the group’s lending practices.

The white-goods lender, which pulled its float in 2014 amid an MPs probe into allegedly ripping off customers, is set to receive Financial Conduct Authority endorsement after tackling the regulator’s concerns.

“We are pleased to have successfully reached this important milestone and that the FCA is minded to authorise our business,” it said. “We look forward to continuing to serve our customers across the UK.”

The group has to comply with the FCA’s fair treatment of customers policy as part of the new regime.

The FCA authorisation also depends on whether the group can restructure a debt pile by next May. Brighthouse said it was “confident” a corporate debt restructuring would be successful.

BrightHouse is the biggest rent-to-own lender in the UK.

The FCA, led by Andrew Bailey, took over the regulation of consumer credit three years ago.