Finance & Leasing Association5 August 2016
New figures released today by the Finance & Leasing Association (FLA) show growth of 4% in consumer finance new business in June, compared with the same month last year, and growth of 11% in the first half of 2016 overall.
Credit card and personal loan new business together grew by 2% compared with June 2015, while second charge mortgages and retail store and online credit new business remained flat. New business volumes in the second charge mortgage market were down by 9% over the same period.
Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The latest figures show a strong performance by FLA members providing consumer finance in the first half of 2016. In the twelve months to June, the percentage of UK new consumer credit provided by FLA members reached more than a third (33.7%).”
Table 1: New consumer credit lending
| Jun 2016 |
% change on prev. year |
3 months to Jun 2016 |
% change on prev. year |
12 months to Jun 2016 |
% change on prev. year |
|
| Total FLA consumer finance (£m) |
7,173 |
+4 |
21,548 |
+9 |
85,318 |
+10 |
|
|
||||||
| Data extracts: |
||||||
| Retail store and online credit (£m) |
525 |
0 |
1,612 |
+5 |
6,663 |
+3 |
| Credit cards & personal loans (£m) |
3,551 |
+2 |
10,845 |
+7 |
43,332 |
+8 |
| Second charge mortgages (£m) |
70 |
0 |
190 |
-3 |
892 |
+24 |
| Car finance (£m) |
2,672 |
+9 |
7,865 |
+13 |
30,483 |
+16 |
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 2015, FLA members provided £110 billion of new finance to UK businesses and households. £81 billion of this was in the form of consumer credit representing almost a third of total new consumer credit written in the UK in 2015.
