6 November 2014
New figures released by the Finance & Leasing Association (FLA) show 12% growth in consumer finance new business in September, compared with the same month last year.
The FLA’s share of the UK consumer credit market increased to 34% in the twelve months to September 2014.
Credit cards and personal loans new business together grew by 6% compared with September 2013. Retail store and online credit was up by 8% in the same period, and point-of-sale finance was up by 18%. Second charge mortgage new business grew 41% by value and 17% by volume.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“FLA members offer a variety of finance products to help consumers make essential household purchases. The September figures show new business growing across the board, and consistently strong growth in the point-of-sale credit markets.”
Table 1: New consumer credit lending
|
Sep 14 |
% change on prev. year |
3 months to Sep 2014 |
% change on prev. year |
12 months to Sep 2014 |
% change on prev. year |
Total FLA consumer finance (£m) |
7,348 |
+12 |
18,785 |
+8 |
72,090 |
+10 |
|
||||||
Data extracts: |
||||||
Retail store and online credit (£m) |
543 |
+8 |
1,477 |
+8 |
6,298 |
+9 |
Credit cards & personal loans (£m) |
3,172 |
+6 |
9,407 |
+2 |
37,609 |
+5 |
Second mortgages (£m) |
52 |
+41 |
150 |
+33 |
548 |
+35 |
Car finance (£m) |
3,239 |
+18 |
6,695 |
+16 |
24,052 |
+21 |
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 2013 FLA members provided £89.0 billion of new finance to UK businesses and households. £66.6 billion of this was in the form of consumer credit representing almost a third of all unsecured lending in the UK.