10 January 2013
Consumer credit lending figures for November 2012, released today, show continued steady growth of six per cent compared with the same period last year. The breakdown for different types of consumer credit show reductions in the amount lent on store cards, credit cards and personal loans; and increases in instalment credit, second mortgages and particularly car finance.
Fiona Hoyle, Head of Consumer Finance at the Finance & Leasing Association said: “The strongest growth we are seeing is in store instalment credit and car finance suggesting that consumers taking advantage of the good finance deals currently on offer.”
“The figures show just how important the sector is to consumers and the economy in general. The Government’s new regulatory system for consumer credit needs to take account of this and ensure that this market is supported and not undermined.”
Table 1: New consumer credit lending November 2012
|Nov 12||% change on prev. year||3 months to Nov 2012||% change on prev. year||12 months to Nov 2012||% change on prev. year|
|Total FLA consumer finance (£m)||4,713||+6||14,473||+6||54,851||+6|
|Store cards (£m)||172||-8||404||-13||1,513||-12|
|Credit cards & personal loans (£m)||2,812||-1||7,904||-4||32,493||-1|
|Store instalment credit (£m)||249||+12||716||+17||2,752||+14|
|Second mortgages (£m)||31||+11||90||+13||323||+14|
|Car finance (£m)||1,345||+25||4,999||+26||16,465||+21|
ENDS 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 short-term credit lenders, and instalment credit providers.
- In 2011 FLA members provided £72.7 billion of new finance to UK businesses and households. £51.8 billion of this was in the form of consumer credit, 30% of all unsecured lending in the UK.