Santander wins UK appeal against £677 million PPI payment to AXA

The Court of Appeal of England and Wales has ruled in favor of Banco Santander, overturning a previous decision that required the bank to pay approximately £677 million (roughly €800 million) to AXA. The dispute concerns Payment Protection Insurance (PPI) policies sold in the United Kingdom, which were designed to cover risks such as illness, death, or unemployment.

The litigation stems from policies issued before 2005, which AXA France acquired from Genworth Financial in 2015. Santander’s involvement relates to GE Capital Bank, an entity it acquired in 2008. Following the recent appellate ruling, Santander stated that AXA must reimburse the majority of the funds already paid out after the initial lower court ruling, including interest and legal costs.

In August of last year, Santander had paid £515 million to the insurer, along with £162 million in interest, following a July 2025 decision by a commercial court. The new ruling significantly reduces the financial impact on the bank.