FLA comments on BBB’s Small Business Finance Markets 2023/24 report

Commenting on the release of the British Business Bank’s Small Business Finance Markets 2023/24 report, which shows that Asset Finance new deals were up by 7% in 2023 to £23.5bn – the third yearly increase in a row and the highest level on record – Simon Goldie, Director of Business Finance at the FLA said: 

“This is yet more evidence that leasing and hire purchase (two main types of asset finance) are the products of choice for an increasing number of business owners. 

“As the report notes, asset finance plays a significant role in helping smaller businesses to invest and grow, so its availability will be crucial over the coming years for both the recovery of UK business investment and achieving net zero targets. The British Business Bank goes onto say that it will continue to support asset finance providers via products such as the Recovery Loan Scheme, ENABLE Funding and the Investment Programme. 

“We would like to see the same support from Government, with a replacement for the RLS, and leasing included in full expensing so that more businesses can invest efficiently to drive productivity.” 

Notes to Editors 

1. In 2023, members of the Finance & Leasing Association provided £151 billion of new finance to UK businesses, households and the public sector. 
2. Of this total, £63 billion was provided by non-bank lenders. £38 billion was provided in the form of asset finance to businesses - £23 billion of which went to SMEs to fund new equipment, plant and machinery, or purchased software. £113 billion was provided in the form of consumer credit, which includes £52 billion of motor finance.
3. For media enquiries, please contact the FLA press office on 020 7420 9656.