Asset Finance


Consumer Finance


Motor Finance


Asset finance up 7% in October

13 December 2017

New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) grew by 7% in October, compared with the same month last year.

The plant and machinery finance and business equipment finance sectors reported new business up in October by 6% and 13% respectively, compared with the same month in 2016, while new finance for IT equipment was up by 22% over the same period.

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

“Growth in the asset finance market was broad-based in October, with most of the main asset sectors reporting increases in new business.

“The industry is on course to report a record level of annual new business in 2017 of around £32 billion.”

 

Oct 2017

% change on prev. year

3 months to Oct

2017

% change on prev. year

12 months to Oct

2017

% change on prev. year

Total FLA asset finance (£m)

2,672

+7

7,625

+1

31,771

+5

Total excluding high value (£m)

2,665

+9

7,568

+3

30,772

+7

       

Data Extracts:

 

By asset:

      

Plant and machinery finance (£m)

489

+6

1,485

+1

6,518

+12

Commercial vehicle finance (£m)

660

+5

1,883

0

7,520

+2

IT equipment finance (£m)

195

+22

579

+4

2,248

0

Business equipment finance (£m)

196

+13

603

+8

2,585

+12

Car finance (£m)

911

+8

2,413

+2

9,833

+6

Aircraft, ships and rolling stock finance (£m)

17

-64

44

-52

586

+10

 

By channel:

      

Direct finance (£m)

1,395

+6

3,786

+1

15,585

+4

Broker-introduced finance (£m)

505

+14

1,478

+5

5,785

+13

Sales finance (£m)

765

+11

2,304

+7

9,403

+7

 

By product:

      

Finance leasing (£m)

328

+5

945

+1

4,005

-3

Operating leasing (£m)

553

-1

1,678

-2

7,057

+6

Lease/Hire purchase (£m)

1,519

+14

4,148

+5

16,765

+10

Other finance (£m)

271

-5

855

-11

3,944

-5

Note to editors:

  1. In 2016, FLA members provided £118 billion of new finance to UK businesses and households. £30 billion of finance was provided to businesses and the public sector. FLA members financed more than a third of UK investment in machinery, equipment and purchased software in the UK in 2016.
  2. For media enquiries, please contact the FLA press office on 020 7420 9656.