8:51 am, October 20, 2026
Car dealers need greater clarity over how long they have to investigate faults under the Consumer Rights Act before customers can reject a vehicle, Warranty Solutions Group (WSG) has warned.
The warranty provider has recently been surveying retailers about their concerns with the legislation, with more than half saying the have experienced customers immediately demanding rejection after reporting a fault, rather than first allowing a repair.
Of the more than 100 dealers polled, 40% identified intermittent faults that are difficult to diagnose as a challenge under the existing act, while 85% said modern vehicles were too technologically complex for the current framework.
WSG is now calling for clearer guidance on what constitutes a reasonable opportunity to investigate and repair faults, as increasingly sophisticated vehicle technology makes diagnosis more complicated.
Software, sensors, electronic control systems, advanced driver assistance systems (ADAS) and electric vehicle technology can all contribute to problems that are difficult to reproduce or pinpoint.
John Colinswood, chief executive of WSG, said some apparent faults could involve several issues interacting, requiring software updates, further testing or manufacturer support.
‘Some vehicles simply cannot be diagnosed and repaired in one visit,’ he said.
‘That doesn’t mean the retailer is unwilling to put the problem right. It means they need a reasonable opportunity to establish what the problem actually is before they can fix it.’
Amy-Jane Marsden, managing director of ProTech Academy, said intermittent faults could be particularly challenging as technicians may need to analyse live vehicle data over an extended period of time, before being able to fix the issue.
Professor Jim Saker, president of the Institute of the Motor Industry (IMI), said disputes needed to reflect the realities of diagnosing modern vehicles.
He said: ‘Some faults require time. Some require multiple stages of investigation. Some only become fully understood after software updates, additional testing or manufacturer support.
‘If dealerships are effectively given only one opportunity to resolve increasingly complex faults, that creates a very difficult environment. I’d much rather see a framework that allows technicians sufficient time to investigate properly and explore different diagnostic options before conclusions are reached.
‘The principles behind the Consumer Rights Act remain entirely appropriate. The question isn’t whether consumers should be protected.
‘They absolutely should. The real challenge is ensuring that the practical application of the legislation reflects the realities of today’s automotive industry.’
Earlier this year, car dealers named the Consumer Rights Act as the one thing they would most like to see the government change to support the motor trade.
Speaking exclusively to Car Dealer, retailers called for the introduction of a US-style ‘Lemon Law’ that splits cover by mileage and is explicit in which parts are included.
A government spokesman later told Car Dealer: ‘Our consumer rights legislation helps people buy with confidence, while providing clear protections when things go wrong.
‘We are always working with business to hear how regulations operate in practice while also supporting them through our Small Business Plan.’