6 June 2013
New figures released today by the Finance & Leasing Association (FLA) show the strongest April performance in five years for the asset finance market, with new business of £1.84 billion. This represents growth of 11% compared with the same month in 2012.
Commenting on the figures, Julian Rose, Head of Asset Finance at the FLA, said: “In the FLA’s confidence survey of senior executives in May, 92% expected business investment to increase over the next 12 months, the most optimistic the industry has been since the launch of the survey in 2011.
“There is absolutely no question that this kind of funding can help support the economy. The Department for Business Innovation and Skills reported last week that growing businesses – particularly high growth businesses – are more likely to use leasing or hire purchase than other SMEs.”
|Apr 2013||% change on Apr 2012||3 months to Apr 2013||% change on prev. year||12 months to Apr 2013||% change on prev. year|
|Total FLA asset finance (£m)||1,844||+11||5,251||-4||21,273||-1|
|Total leasing and hire purchase excluding high value (£m)||1,812||+11||5,131||-2||20,611||+1|
|Plant and machinery finance (£m)||342||+4||1,060||-5||4,211||+3|
|Commercial vehicle finance (£m)||372||+6||1,168||-8||4,528||-2|
|IT equipment finance (£m)||128||+31||344||+10||1,384||+13|
|Business equipment finance (£m)||183||+52||457||-12||1,805||-9|
|Car finance (£m)||669||+10||1,692||+4||6,759||+6|
|Aircraft, ships and rolling stock finance (£m)||37||+51||93||-11||484||-7|
Note to editors:
- The BIS report can be found at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/204183/bis-13-883-small-business-survey-2012-growth-special-report.pdf
- It segments respondents into different groups and defined growers as SME employers that had increased the numbers employed by five per cent or more in the last year with a minimum of three new employees, or SME employers that had increased turnover by five per cent or more or more in the last year, with a minimum increase of £50,000.
- In 2012 FLA members provided £76.4 billion of new finance to UK businesses and households. £21.4 billion of finance was provided to businesses and the public sector, representing around 28% of all fixed capital investment (excluding real property and own-account software) in the UK last year.