NEW figures from the Finance and Leasing Association (FLA) show that new business volumes in the consumer car finance market grew in December.
The month showed a 6% increase compared with the same month in 2018, and held steady in 2019 as a whole at over 2.4 million cars.
The consumer new car finance market reported growth in new business volumes of 4% in December 2019 compared with the same month in 2018.
In 2019 as a whole, new business volumes in this market fell by 3%. The percentage of private new car sales financed by FLA members was 91.7% in the twelve months to December 2019.
The consumer used finance market reported new business volumes up in December 2019 by 7% compared with the same month in 2018. In 2019 as a whole, new business volumes in this market grew by 2%.
Appointed Representative Opportunities with Wessex Fleet
Have you thought about growing your broker business? Are you looking for opportunities for growth? Then why not consider joining Wessex Fleet as an Appointed Representative?
Keeping you on the move with leasing solutions tailored to your needs
Leasys is the proud Contract Hire partner of the Stellantis brands, offering mobility solutions from medium and long-term rentals to management systems for company fleets.We work with Brokers to support all their customers requirements.
Accelerate your business with QV Systems & Leaselink
Unlock unparalleled efficiency in vehicle procurement with QV Systems’ Accelerate, now seamlessly integrated with Ebbon Automotive’s Leaselink. Tailored for brokers and funders, this integration streamlines the entire process from quote to delivery, empowering you to effortlessly source and order vehicles for your clients.
Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said: “The performance of the consumer car finance market in 2019 was in line with expectations. A similar performance of broadly stable new business volumes overall in 2020 is likely if we see a pick-up in consumer confidence.
“FLA members continued to set new records in 2019, with the penetration rate of consumer new car finance reaching 91.7%, and a record level of new business volumes of almost 1.5 million cars reported by the consumer used car finance market.”
Table 1: Cars bought on finance by consumers through the point of sale | ||||||
New business | Dec 2019 | % change on prev. year | 3 months to Dec 2019 | % change on prev. year | 12 months to Dec 2019 | % change on prev. year |
New cars | ||||||
Value of advances (£m) | 1,313 | 15 | 4,123 | 2 | 19,638 | 1 |
Number of cars | 55,720 | 4 | 184,518 | -5 | 933,417 | -3 |
Used cars | ||||||
Value of advances (£m) | 1,177 | 11 | 4,148 | 4 | 18,374 | 4 |
Number of cars | 90,956 | 7 | 330,058 | 2 | 1,489,929 | 2 |
Total cars | ||||||
Value of advances (£m) | 2,490 | 13 | 8,271 | 3 | 38,013 | 3 |
Number of cars | 146,676 | 6 | 514,576 | -1 | 2,423,346 | 0 |
Table 2: Cars bought on finance by businesses | ||||||
New business | Dec 2019 | % change on prev. year | 3 months to Dec 2019 | % change on prev. year | 12 months to Dec 2019 | % change on prev. year |
New cars | ||||||
Number of cars | 31,361 | 0 | 96,865 | -2 | 428,322 | -3 |
Used cars | ||||||
Number of cars | 2,999 | 0 | 11,009 | -31 | 54,999 | 6 |
Note to editors:
- Consumer motor finance reported in these figures refers to finance obtained through the point of sale.
- In 2019, FLA members provided £140billion of new finance to UK businesses and households. £105 billion of this was in the form of consumer credit, over a third of total new consumer credit written in the UK in 2019. £48 billion of it supported the purchase of new and used cars, including over 91% of private new car registrations.
- For media enquiries, please contact the FLA press office on 020 7420 9656.
Thinking of the switch to electric?
Need help in finding the right electric vehicle for you? Compare driving range, battery capacity, charging time, price, and features to find the perfect EV for you.