Finance & Leasing Association11 January 2019
New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) in November was at a similar level to the same month in 2017.
The plant and machinery finance and business equipment finance sectors reported new business up in November by 9% and 8% respectively, compared with the same month in 2017. By contrast, new finance for business cars and IT equipment fell by 6% and 32% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The asset finance market’s performance in November means the industry remains on track to report a record level of new business in 2018 as a whole.
“The percentage of UK investment in machinery, equipment and purchased software financed by FLA members reached 32.2% in the twelve months to September 2018, a nine-year high.”
| Nov 2018 |
% change on prev. year |
3 months to Nov 2018 |
% change on prev. year |
12 months to Nov 2018 |
% change on prev. year |
|
| Total FLA asset finance (£m) |
2,540 |
0 |
8,176 |
+3 |
32,315 |
+3 |
| Total excluding high value (£m) |
2,452 |
0 |
7,669 |
-1 |
30,221 |
+2 |
|
|
|
|
|
|
|
|
| Data Extracts:
By asset: |
|
|
|
|
|
|
| Plant and machinery finance (£m) |
541 |
+9 |
1,637 |
+9 |
6,644 |
+2 |
| Commercial vehicle finance (£m) |
723 |
+4 |
2,242 |
+8 |
7,877 |
+4 |
| IT equipment finance (£m) |
161 |
-32 |
674 |
+2 |
2,665 |
+16 |
| Business equipment finance (£m) |
232 |
+8 |
690 |
+10 |
2,631 |
+3 |
| Car finance (£m) |
661 |
-6 |
2,111 |
-14 |
8,874 |
-5 |
| Aircraft, ships and rolling stock finance (£m) |
17 |
+114 |
105 |
+134 |
318 |
-45 |
|
By channel: |
|
|
|
|
|
|
| Direct finance (£m) |
1,200 |
+5 |
3,770 |
+1 |
15,101 |
0 |
| Broker-introduced finance (£m) |
545 |
+8 |
1,640 |
+12 |
6,042 |
+11 |
| Sales finance (£m) |
707 |
-11 |
2,260 |
-10 |
9,079 |
-2 |
|
By product: |
|
|
|
|
|
|
| Finance leasing (£m) |
320 |
+10 |
1,189 |
+24 |
4,103 |
+9 |
| Operating leasing (£m) |
496 |
-15 |
1,500 |
-14 |
5,975 |
-12 |
| Lease/Hire purchase (£m) |
1,462 |
+5 |
4,605 |
+5 |
17,776 |
+6 |
| Other finance (£m) |
191 |
-1 |
619 |
-4 |
3,054 |
-4 |
Note to editors:
- In 2017, FLA members provided £128 billion of new finance to UK businesses and households. £32 billion of finance was provided to businesses and the public sector. FLA members financed a third of UK investment in machinery, equipment and purchased software in the UK in 2017.
- For media enquiries, please contact the FLA press office on 020 7420 9656.
