(Bloomberg) -- Close Brothers Group Plc named Mike Morgan as its new chief executive officer to succeed Adrian Sainsbury, who has stepped down to focus on his health, according to a statement.
Sainsbury, who had previously taken a temporary medical leave of absence, is “recuperating well and expected to make full recovery,” the London-based financial services firm said on Tuesday in the statement.
The change of leadership comes as Close Brothers and its key rivals in motor finance are navigating a regulatory probe into their motor finance businesses over commissions that helped car dealers earn thousands of pounds for themselves while allowing banks to push up interest rates they offered buyers. The practice was banned in 2021.
The UK’s Supreme Court has also agreed to hear an appeal by the company in a landmark lawsuit related to the matter.
Morgan, 59, who has served as finance director of Close Brothers since late 2018, now faces the job of steering the company through the saga. On Monday, analysts at Keefe, Bruyette & Woods said they now expect the company to face a £460 million liability tied to the matter, up from the £350 million they previously estimated.
©2025 Bloomberg L.P.