Shipping cartel settlement approved for consumers

On 16 January 2026, the Competition Appeal Tribunal (CAT) gave a significant boost to consumers and businesses across the UK by approving final settlements in the Car Delivery Charges class action against the notorious shipping cartel. Mark McLaren Class Representative Limited, acting on behalf of claimants, successfully secured a total recovery of £92.75 million, a landmark achievement in competition law. This case marks a pivotal moment, as it represents the first distribution in the opt-out regime where both businesses and consumers will collectively benefit and recover losses incurred due to anti-competitive behaviour.

The claim centres on the artificially inflated shipping fees associated with 17 million new vehicles produced by leading car manufacturers including Ford, Vauxhall, Volkswagen, Peugeot, BMW, Mercedes-Benz, Nissan, Toyota, Citroen, and Renault, with purchases and leases dating from October 2006 to September 2015. Following a comprehensive nine-week trial against the final two defendants, MOL and NYK, which began in January 2025, the CAT approved these settlements, culminating in a substantial payout.

Mark McLaren, the class representative, expressed his satisfaction with the outcome, stating, “We are delighted that we have been successful in recovering £92.75 million on behalf of UK consumers and businesses who have overpaid as a result of the cartel.” He went on to emphasise the importance of this case, highlighting that it is “a historic outcome as it will be the first time that both UK consumers and businesses will be entitled to compensation through the opt-out regime.” McLaren’s goal now is to ensure optimal participation by class members as the distribution phase commences.

Cian Mansfield, Managing Partner of Scott+Scott UK LLP, echoed this sentiment, noting the importance of the settlement. He remarked, “The approval of this settlement is a landmark outcome for the class who paid higher shipping fees for new purchased or leased vehicles due to cartel.” The settlements not only conclude the litigation process but will also enable vital compensation to flow to those wronged by the cartel's practices. Mansfield added, “The settlement secured highlights the importance of the opt-out regime for achieving access to justice for victims of anticompetitive conduct and returning illegally earned profits to UK consumers and businesses.”

The action, originally valued at £150 million, was funded by Woodsford, a leading litigation finance business, with a legal team that included skilled barristers from Brick Court Chambers and Matrix Chambers. This case demonstrates the potential for collective redress and paves the way for future actions regarding anticompetitive behaviours by corporations. As consumers and businesses prepare to register for compensation through the established channels, the implications of this case are sure to resonate throughout the UK market for years to come.

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