Consumer car finance market falls by 1% in November 2019

28 January 2020

New figures released today by the Finance & Leasing Association (FLA) show that new business volumes in the consumer car finance market fell in November 2019 by 1% compared with the same month in 2018, and remained stable in the eleven months to November 2019.

The consumer new car finance market reported a fall in new business volumes of 8% in November 2019 compared with the same month in 2018. The percentage of private new car sales financed by FLA members was 91.2% in the twelve months to November 2019.

The consumer used car finance market reported new business volumes up in November 2019 by 3% compared with the same month in 2018.

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

“The consumer used car finance market is poised for a record level of new business volumes in 2019 of almost 1.5 million cars, 2% higher than in 2018.

“Further single-digit growth in this market is likely in 2020 with recent survey data suggesting a pick-up in consumer confidence about the economic outlook, personal finances and committing to big-ticket purchases.”

Table 1: Cars bought on finance by consumers through the point of sale

New business

Nov 2019

% change on prev. year

3 months to Nov 2019

% change on prev. year

12 months to Nov 2019

% change on prev. year

New cars

 

 

 

 

 

 

Value of advances (£m)

1,394

-1

5,440

0

19,385

0

Number of cars

62,474

-8

250,854

-5

928,049

-4

Used cars

 

 

 

 

 

 

Value of advances (£m)

1,389

3

4,612

5

18,263

4

Number of cars

111,049

3

367,820

3

1,484,254

2

Total cars

           

Value of advances (£m)

2,783

1

10,051

2

37,648

2

Number of cars

173,523

-1

618,674

0

2,412,303

0

Table 2: Cars bought on finance by businesses

New business

Nov 2019

% change on prev. year

3 months to Nov 2019

% change on prev. year

12 months to Nov 2019

% change on prev. year

New cars

 

 

 

 

 

 

Number of cars

25,756

-18

85,340

-9

389,798

-4

Used cars

           

Number of cars

3,718

-17

12,859

-25

59,412

6

Note to editors:

  1. Motor finance reported in these figures refers to finance obtained through the point of sale.
  2. In 2018, FLA members provided £136 billion of new finance to UK businesses and households. £103 billion of this was in the form of consumer credit, over a third of total new consumer credit written in the UK in 2018. £46 billion of it supported the purchase of new and used cars, including over 91% of private new car registrations.
  3. For media enquiries, please contact the FLA press office on 020 7420 9656.

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