Consumer finance continues to grow in November

16 January 2015

Figures released today by the Finance & Leasing Association (FLA)  show that consumer finance new business grew by 3% in November 2014, compared with the same month the previous year and increased by 10% in the twelve months to November.

 Retail store and online credit new business was 4% higher in November 2014 than in the same month a year earlier. It was a quieter month for the second charge mortgage market, as new business grew 7% by value, while falling 8% by volume.

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

 “The run-up to Christmas usually sees a strong performance by the retail store and online credit sector and 2014 was no exception. New business in this sector reached £638 million in November, its best November performance for at least three years.”

Table 1: New consumer credit lending

 

Nov 14

% change on prev. year

3 months to Nov 2014

% change on prev. year

12 months to Nov 2014

% change on prev. year

Total FLA consumer finance (£m)

5,850

+3

19,311

+8

72,668

+10

 

           

Data extracts:

           

Retail store and online credit (£m)

638

+4

1,727

+5

6,350

+9

Credit cards & personal loans (£m)

3,140

0

9,464

+3

37,652

+5

Second mortgages (£m)

45

+7

146

+19

556

+29

Car finance (£m)

1,771

+11

7,069

+15

24,505

+20

Note to editors:

  1. FLA members in the consumer finance sector include banks, credit card providers, store card providers, second-charge mortgage lenders, motor finance providers, personal loan and instalment credit providers.
  1. In 2013 FLA members provided £89.0 billion of new finance to UK businesses and households. £66.6 billion of this was in the form of consumer credit representing almost a third of all unsecured lending in the UK.

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