Finance & Leasing Association11 November 2016
New figures released today by the Finance & Leasing Association (FLA) show that new business in the point-of-sale (POS) consumer new car finance market grew 9% by value and 3% by volume in September, compared with the same month last year. In Q3 2016 as a whole, new business was up 7% by value and 3% by volume.
The percentage of private new car sales financed by FLA members through the POS reached 86.2% in the twelve months to September, up from 85.5% in the twelve months to August.
The POS consumer used car finance market also reported new business growth in September, of 8% by value and 5% by volume.
Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The POS consumer car finance market continued to grow in line with expectations in September. This contributed to strong single-digit new business volumes growth of 9% in the first nine months of 2016.”
| Table 1: Cars bought on finance by consumers through dealerships |
||||||
| New business |
Sep 2016 |
% change on prev. year |
3 months to Sep 2016 |
% change on prev. year |
12 months to Sep 2016 |
% change on prev. year |
| New cars |
||||||
| Value of advances (£m) |
2,871 |
+9 |
4,843 |
+7 |
17,824 |
+14 |
| Number of cars |
161,301 |
+3 |
282,288 |
+3 |
1,044,798 |
+9 |
| Used cars |
||||||
| Value of advances (£m) |
1,177 |
+8 |
3,476 |
+11 |
13,299 |
+13 |
| Number of cars |
107,263 |
+5 |
321,669 |
+9 |
1,238,682 |
+11 |
| Table 2: Cars bought on finance by businesses |
||||||
| New business |
Sep 2016 |
% change on prev. year |
3 months to Sep 2016 |
% change on prev. year |
12 months to Sep 2016 |
% change on prev. year |
| New cars |
||||||
| Number of cars |
49,274 |
+1 |
127,421 |
+3 |
511,324 |
0 |
| Used cars |
||||||
| Number of cars |
4,016 |
0 |
11,449 |
+28 |
42,634 |
+11 |
Note to editors:
- 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, almost a third of total new consumer credit written in the UK in 2015. £37 billion of it supported the purchase of new and used cars, including over 80% of private new car registrations.
