Consumer finance new business recovers in April after quiet March

8 June 2018

New figures released today by the Finance & Leasing Association (FLA) show that consumer finance new business in April grew by 22%, compared with the same month last year.

Credit card and personal loan new business together grew by 21% compared with April 2017, while retail store and online credit new business increased by 11%. Second charge mortgage new business increased 2% by value and 8% by volume over the same period.

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

“The recovery in consumer finance new business in April follows a quiet end to the first quarter of 2018 and is consistent with recent improvements in consumer confidence and retail sales.

“Changes to Vehicle Excise Duty in April 2017 have affected the pattern of demand for consumer new car finance. In the first four months of 2018, the point of sale consumer car finance market overall reported new business volumes up by 4% compared with the same period in 2017.”

Table 1: New consumer credit lending


Apr 2018

% change on prev. year

3 months to Apr 2018

% change on prev. year

12 months to Apr 2018

% change on prev. year

Total FLA consumer finance (£m)








Data extracts:


Retail store and online credit (£m)







Credit cards & personal loans (£m)







Second charge mortgages (£m)







Car finance (£m)







Note to editors:

  1. VED changes came into effect on 1 April 2017
  2. 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.
  3. In 2017, FLA members provided £128 billion of new finance to UK businesses and households. £96 billion of this was in the form of consumer credit representing over a third of total new consumer credit written in the UK in 2017.
  4. For media enquiries, please contact the FLA press office on 020 7420 9656.

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