Key Points
- The Motor Ombudsman (TMO) has opened a new hub in Liverpool to support growth of its Alternative Dispute Resolution (ADR) service.
- The hub is located on Mann Island in Liverpool and will mainly handle case work for TMO’s in-house ADR scheme.
- The move is designed to bring more automotive dispute resolution capacity closer to consumers and businesses in the North West.
- TMO’s ADR service is free for consumers when the trader is signed up to one of TMO’s CTSI-approved Codes of Practice.
- Hundreds of motor traders across the UK are already members of TMO codes covering new cars, vehicle sales, service and repair, and warranty products.
- Used car complaints have risen recently, with TMO reporting a 14% surge in used car disputes in 2025 compared with 2024.
- ADR gives consumers a faster, cheaper alternative to court, using mediation, adjudication and, in some cases, binding arbitration.
- The Liverpool hub is expected to strengthen regional access to TMO’s dispute resolution services and support local traders seeking accreditation.
Liverpool (Liverpool standard) July 14, 2026 – The Motor Ombudsman has opened a new hub in Liverpool in order to support the growth of its Alternative Dispute Resolution (ADR) service, marking a significant expansion of automotive dispute resolution capacity in the North West.
- Key Points
- What is Alternative Dispute Resolution in the motor industry?
- Why is Liverpool chosen for the new Motor Ombudsman hub?
- What impact will the Liverpool hub have on motor traders and consumers?
- For consumers: faster, fairer resolution
- For traders: clearer route for complaints and accreditation benefits
- Background: How The Motor Ombudsman and ADR have developed in the UK
- Prediction: How the Liverpool hub could affect drivers, buyers and local traders
The facility, located on Mann Island, will be used primarily to handle case work for The Motor Ombudsman’s in-house ADR scheme, which helps resolve disputes between consumers and motor traders without the need for court proceedings. According to the announcement published by Motor Trader, the hub is intended to boost the reach and efficiency of TMO’s ADR services, bringing more dedicated resources closer to consumers and businesses across the region.
As reported by Motor Trader, the development comes at a time when motor-related disputes, particularly in the used car market, are increasing. TMO previously reported that used car disputes rose by 14% in 2025 versus 2024, as nearly eight million second-hand vehicles changed hands in the UK last year. The new Liverpool hub is therefore positioned to help manage this growing volume of cases while maintaining the speed and fairness that ADR is designed to deliver.
What is Alternative Dispute Resolution in the motor industry?
Alternative Dispute Resolution (ADR) is a way of solving disputes between dealers and consumers that does not involve the court process, typically using mediation, conciliation or arbitration. In mediation or conciliation, an independent third party sits between the parties to try to reach a resolution; in arbitration, an independent decision-maker considers evidence from both sides and may issue a binding or advisory decision.
The Motor Ombudsman operates a CTSI-approved ADR scheme that is free for consumers when the trader is signed up to one of its Codes of Practice, such as the New Car Code, Vehicle Sales Code, Service and Repair Code, or Vehicle Warranty Products Code. If a member business cannot resolve a complaint internally, the consumer can refer the dispute to TMO, which will first seek to resolve it through mediation or adjudication, and may then proceed to arbitration where the decision is binding on the business but not on the consumer.
As explained in The Motor Ombudsman’s guide to ADR, the service is designed to resolve vehicle disputes “simply, fairly and without court,” offering a faster and more cost-effective route than litigation. Under UK regulations introduced in 2015, traders must inform consumers about any approved ADR scheme they are part of, although participation in ADR itself remains voluntary for most sectors.
Why is Liverpool chosen for the new Motor Ombudsman hub?
The decision to open the hub on Mann Island in Liverpool reflects a strategic move to increase regional capacity for handling automotive disputes, particularly in the North West of England. Motor Trader reports that the new location will support the growth of TMO’s ADR service, enabling the organisation to deal with a rising number of cases more efficiently.
Liverpool’s position as a major city with strong transport links and a large local car market makes it an effective base for serving both consumers and motor traders across the region. By establishing a dedicated office, The Motor Ombudsman can bring more case handlers and adjudicators closer to the areas where many disputes originate, reducing delays and improving the overall experience for all parties.
The launch also aligns with TMO’s broader expansion strategy, which has seen partnerships with large groups such as Alliance Automotive Group to widen access to its ADR services through accredited repairer networks. These moves collectively aim to increase the number of traders signed up to TMO codes and, in turn, expand the pool of consumers who can access free ADR.
What impact will the Liverpool hub have on motor traders and consumers?
For consumers: faster, fairer resolution
For consumers who have bought or repaired a vehicle with a TMO-accredited trader, the Liverpool hub is likely to mean quicker handling of complaints and more local support throughout the dispute process. As noted by The Motor Ombudsman, its ADR service allows complaints to be resolved without court, using impartial assessment and, where necessary, binding arbitration for the business.
With more dedicated case capacity in the North West, consumers in Liverpool and surrounding areas may experience shorter waiting times for initial assessments and clearer guidance on how to progress their complaints. This is particularly relevant in light of the 14% rise in used car complaints recorded by TMO, which suggests that demand for ADR is already growing.
For traders: clearer route for complaints and accreditation benefits
For motor traders, the new hub offers a more accessible and potentially more streamlined route for resolving consumer complaints, helping businesses manage disputes without resorting to court or reputational damage. As reported by Motor Trader, the Liverpool hub is expected to support the growth of TMO’s ADR service, which in turn may encourage more regional traders to seek accreditation under TMO codes.
Being signed up to a TMO code not only gives traders access to TMO’s ADR but also signals to customers that they adhere to industry standards, which can strengthen confidence and trust. This could lead to a wider network of accredited businesses in the North West, giving more consumers the option to use free ADR when disputes arise.
Background: How The Motor Ombudsman and ADR have developed in the UK
The Motor Ombudsman (TMO) is a self-regulatory body for the UK motor industry that administers several CTSI-approved Codes of Practice covering new cars, vehicle sales, service and repair, and warranty products. Membership of these codes gives consumers the right to refer unresolved complaints to TMO, which operates an in-house ADR scheme that is free for consumers when the trader is accredited.
ADR in the motor industry has expanded significantly since the UK introduced the Alternative Dispute Resolution Regulations in 2015, which require traders to inform consumers about approved ADR bodies. Other bodies such as the National Conciliation Service (NCS) also provide ADR for motor traders, using a mixture of conciliation and arbitration, but TMO’s scheme is notable for its focus on binding arbitration decisions for businesses.
Recent trends show rising demand for motor ADR, with TMO reporting a 14% increase in used car disputes in 2025 compared with 2024. Partnerships with large dealer and repairer groups, such as Alliance Automotive Group, have further widened the reach of TMO’s ADR services, creating more accredited repairers and increasing the number of consumers who can use the scheme. The opening of the Liverpool hub represents another step in this expansion, aiming to strengthen regional capacity and support the continued growth of TMO’s ADR model.
Prediction: How the Liverpool hub could affect drivers, buyers and local traders
For drivers and car buyers
The Liverpool hub is likely to improve access to ADR for drivers and car buyers in the North West, potentially reducing the time it takes to resolve disputes about sales, repairs, warranties or new cars. As case capacity grows, consumers may experience faster initial responses and more consistent handling of complaints, which could make TMO’s ADR a more attractive option compared to pursuing court action.
In the longer term, easier access to ADR may encourage more consumers to raise complaints formally rather than abandoning them, which could lead to better overall accountability among motor traders. This could especially benefit used car buyers, who have been driving much of the recent increase in disputes reported by TMO.
For local motor traders
For traders in Liverpool and the wider region, the hub may lead to a more predictable and efficient complaints process, helping businesses manage consumer disputes without significant reputational or financial damage. The presence of a dedicated TMO office could also encourage more local dealers and repairers to join TMO codes, expanding the network of accredited traders and giving more customers the option of free ADR.
If participation in TMO codes increases, the region could see a broader culture of formal complaint handling and adherence to industry standards, which may improve consumer confidence in local motor businesses. However, traders will also need to adapt to a system where complaints can be escalated to an independent adjudicator, requiring clearer internal processes and better documentation of customer interactions.
Overall, the Liverpool hub is likely to strengthen the role of ADR in the North West motor market, offering drivers and buyers a more accessible route to resolve disputes while encouraging traders to adopt higher standards and more robust complaint management practices.
