New figures released today by the Finance & Leasing Association (FLA) show that consumer finance new business fell by 2% in March compared with the same month last year. In Q1 2019 as a whole, new business was at a similar level to Q1 2018.

Retail store and online credit new business increased by 4% in March, compared with the same month in the previous year, while second charge mortgage new business by value was up by 25% over the same period.

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

“The consumer finance market reported new business stable in Q1 2019, with modest growth in retail store and online credit reflecting the growth in retail sales over the same period.  

“Single-digit new business growth is expected in 2019 as a whole as consumers remain relatively confident about the outlook for their personal finances.”

Table 1: New consumer credit lending

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.
2. In 2018, FLA members provided £137 billion of new finance to UK businesses and households. £104 billion of this was in the form of consumer credit representing more than a third of total new consumer credit written in the UK in 2018.
3. For media enquiries, please contact the FLA press office on 020 7420 9656.