Modest growth in new car finance during November

16 January 2014

Figures released today by the Finance & Leasing Association (FLA) show growth of 7% in the number of new cars bought by consumers using dealer finance in November 2013, compared with the same month in 2012. The consumer used car finance market recorded another strong month, with volumes 18% higher than in November 2012.

Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA said: “The consumer new car finance market has reported moderate growth in the last couple of months, with the annual percentage of private new car sales financed by FLA members falling slightly from a peak of 74.5% in August to 74% in November.

“Motor finance providers remain optimistic about growth in 2014, and the FLA’s most recent confidence survey shows that the majority of respondents expect new business growth of up to 10% over the next twelve months.”

Table 1: Cars bought on finance by consumers through dealerships    
 

Nov-13

% change on prev. year

3 months to Nov 2013

% change on prev. year

12 months to Nov 2013

% change on prev. year

New cars            
Value of advances (£m)

878

+16

3,787

+21

11,842

+28

Number of cars

55,941

+7

245,784

+12

788,243

+20

Used cars            
Value of advances (£m)

720

+22

2,327

+23

8,599

+19

Number of cars

72,639

+18

236,694

+19

900,329

+14

 

Table 2: Cars bought on finance by businesses        
 

Nov-13

% change on prev. year

3 months to Nov 2013

% change on prev. year

12 months to Nov 2013

% change on prev. year

New cars            
Number of cars

33,052

+10

104,474

+3

398,503

0

Used cars            
Number of cars

2,646

-48

11,341

-33

58,247

-11

Note to editors:

  1. In 2012 FLA members provided £80.2 billion of new finance to UK businesses and households. £58.8 billion of this was in the form of consumer credit, 30% of all unsecured lending in the UK. And £23.3 billion of it supported the purchase of new and used cars, including more than 70% of private new car registrations.

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