Finance & Leasing Association10 December 2015
New figures released today by the Finance & Leasing Association (FLA) show 7% growth in consumer finance new business in October, compared with the same month last year.
Retail store and online credit was up 3% compared with October 2014, while credit card and personal loan new business together increased by 5%. Second charge mortgage new business was up 38% by value and 15% by volume over the same period.
Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“FLA consumer finance providers have reported steady growth in new business since July. Our latest research suggest that UK new consumer credit will grow by 10% in 2015 as a whole, with growth slowing to around 4% in 2016.”
Table 1: New consumer credit lending
| Oct 2015 |
% change on prev. year |
3 months to Oct 2015 |
% change on prev. year |
12 months to Oct 2015 |
% change on prev. year |
|
| Total FLA consumer finance (£m) |
6,637 |
+7 |
20,497 |
+8 |
78,116 |
+6 |
|
|
||||||
| Data extracts: |
||||||
| Retail store and online credit (£m) |
579 |
+3 |
1,568 |
+2 |
6,501 |
+3 |
| Credit cards & personal loans (£m) |
3,364 |
+5 |
9,964 |
+4 |
39,607 |
+2 |
| Second charge mortgages (£m) |
76 |
+38 |
207 |
+30 |
734 |
+27 |
| Car finance (£m) |
2,296 |
+12 |
7,710 |
+13 |
27,512 |
+13 |
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 almost a third of total new consumer credit written in the UK last year.
