Finance & Leasing Association8 May 2015
New figures released today by the Finance & Leasing Association (FLA) shows growth of 10% in consumer finance new business in March, and 5% in Q1 2015 overall.
Retail store and online credit was up by 5% in March, while personal loans and credit card new business together grew by 4% over the same period.
The second charge mortgage market reported new business up 33% by value and 7% by volume in March – its highest level since Q4 2008.
Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The strength of the consumer finance market in March reflects the general improvement in consumer confidence, and particularly with regard to making major household purchases.”
Table 1: New consumer credit lending
| Mar 2015 |
% change on prev. year |
3 months to Mar 2015 |
% change on prev. year |
12 months to Mar 2015 |
% change on prev. year |
|
| Total FLA consumer finance (£m) |
8,202 |
+10 |
19,104 |
+5 |
74,793 |
+6 |
|
|
||||||
| Data extracts: |
||||||
| Retail store and online credit (£m) |
531 |
+5 |
1,472 |
+1 |
6,417 |
+5 |
| Credit cards & personal loans (£m) |
3,383 |
+4 |
9,398 |
0 |
38,720 |
+1 |
| Second charge mortgages (£m) |
68 |
+33 |
173 |
+22 |
628 |
+24 |
| Car finance (£m) |
3,845 |
+15 |
7,194 |
+11 |
25,425 |
+15 |
Note to editors:
- 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.
- In 2014, FLA members provided £100 billion of new finance to UK businesses and households. £74 billion of this was in the form of consumer credit representing over a third of total new consumer credit written in the UK last year.
