The Court of Appeal in the UK ruled in favour of Santander in its litigation with AXA. The bank will not have to pay the 800 million euros initially ordered for payment protection insurance.
The Banco Santander has achieved a victory in its litigation against AXA, after winning an appeal that exempts it from paying 677 million pounds (800 million euros) for payment protection insurance (PPI) in the UK. This ruling, announced last Tuesday, overturns the judgement issued in July 2025 that had been unfavourable for the bank.
According to the bank, the Court of Appeal has determined that AXA must reimburse the majority of the amounts already paid by Santander, in addition to the corresponding interest. In August 2025, Santander had paid 515 million pounds (594 million euros) to the insurer, along with 162 million pounds (187 million euros) in interest.
The dispute between the two entities originated in 2017 over the allocation of responsibilities related to compensation and costs of a PPI insurance portfolio. This conflict affected policies prior to 2005, underwritten by the current AXA France, which was acquired by the AXA Group in 2015.
In 2017, Santander informed AXA that it did not accept responsibility for the losses of the PPI policies prior to 2005. However, both parties signed an agreement in which Santander committed to process claims on behalf of AXA, who in turn would be responsible for paying the compensation to the policyholders.
Since the termination of this agreement in December 2020, AXA has demanded reimbursement for the losses arising from the PPI insurance, initially estimated at 670 million pounds (772 million euros) plus interest, although it later reduced its claim to 552 million pounds (640 million euros).
You may also like
