Asset Finance


Consumer Finance


Motor Finance


Consumer new car finance volumes up 3% in September

11 November 2016

New figures released today by the Finance & Leasing Association (FLA) show that new business in the point-of-sale (POS) consumer new car finance market grew 9% by value and 3% by volume in September, compared with the same month last year. In Q3 2016 as a whole, new business was up 7% by value and 3% by volume.

The percentage of private new car sales financed by FLA members through the POS reached 86.2% in the twelve months to September, up from 85.5% in the twelve months to August.

The POS consumer used car finance market also reported new business growth in September, of 8% by value and 5% by volume.

Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:

“The POS consumer car finance market continued to grow in line with expectations in September. This contributed to strong single-digit new business volumes growth of 9% in the first nine months of 2016.”

Table 1: Cars bought on finance by consumers through dealerships

New business

Sep 2016

% change on prev. year

3 months to Sep 2016

% change on prev. year

12 months to Sep 2016

% change on prev. year

New cars

Value of advances (£m)

2,871

+9

4,843

+7

17,824

+14

Number of cars

161,301

+3

282,288

+3

1,044,798

+9

Used cars

Value of advances (£m)

1,177

+8

3,476

+11

13,299

+13

Number of cars

107,263

+5

321,669

+9

1,238,682

+11

 

Table 2: Cars bought on finance by businesses

New business

Sep 2016

% change on prev. year

3 months to Sep 2016

% change on prev. year

12 months to Sep 2016

% change on prev. year

New cars

Number of cars

49,274

+1

127,421

+3

511,324

0

Used cars

Number of cars

4,016

0

11,449

+28

42,634

+11

Note to editors:

  1. In 2015, FLA members provided £110 billion of new finance to UK businesses and households. £81 billion of this was in the form of consumer credit, almost a third of total new consumer credit written in the UK in 2015. £37 billion of it supported the purchase of new and used cars, including over 80% of private new car registrations.