New figures released today by the Finance & Leasing Association (FLA) show growth of 1% in consumer finance new business in February 2019, compared with the same month last year.

Retail store and online credit grew in February by 6%, compared with the same month in 2018, while the personal loan and credit card finance sectors together reported a fall in new business of 4%.  Over the same period, second charge mortgage new business grew 20% by value.

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

“The consumer finance market has seen modest growth in new business overall since November as confidence about the economic outlook has weakened.  

“We continue to expect low single-digit new business growth in 2019 as a whole if uncertainty about the outlook for the UK economy reduces.”

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 over 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.