The BVRLA has joined with the Road Haulage Association (RHA), Freight Transport Association (FTA), and the National Franchised Dealers Association (NFDA) in raising concerns about the way HGVs are treated in future Clean Air Zones (CAZ). The associations have written a joint letter to Transport Secretary Chris Grayling, calling for Government support in ensuring that… Continue reading BVRLA’s HGV coalition writes to Minister on Clean Air Zones
Category: Trade Body Site
FLA launches Motor Finance Specialist apprenticeship
8 March 2018
The Finance & Leasing Association (FLA), working alongside employers in a Trailblazer group, has today launched its Motor Finance Specialist apprenticeship to offer employment and training opportunities to those entering one of the UK’s fastest growing sectors.
A new section on the FLA’s website provides all the necessary information that firms will need to get their apprenticeship programmes underway – including contact details for three well-established training providers who have already signed up to help employers develop tailor-made courses, along with advice on how to hire apprentices.
The launch of the apprenticeship is the culmination of 18 months of discussions between FLA members, brokers, dealerships and professional bodies, to devise a training programme that matches the specific skills and knowledge required in a market where 88% of private new car purchases are made using motor finance.
The one-to-two-year, Level 3 apprenticeship uses a core curriculum which then branches into options to suit either finance specialists, working for a lender, or retail specialists, who liaise directly with car buyers in the dealerships. The independent assessment process examines a number of areas, including knowledge of the finance products, regulatory compliance and customer service.
Commenting, Adrian Dally, Head of Motor Finance at the FLA, said:
“The Apprenticeship Standard will help to attract new talent who want to build their careers in motor finance. This kind of commitment to the industry is good for competition, customer service and the responsible provision of credit that is central to this market.
“FLA members have a history of investing in training for dealership staff, including development of the Specialist Automotive Finance (SAF) programme that has been running since 2007. We added the more demanding SAF Advanced qualification in 2016, and are now introducing modules to the original SAF programme to ensure there is a SAF training option for every career stage.”
Sue Husband, director, National Apprenticeship Service said:
“Through apprenticeships, we’re making it easier for employers to attract a diverse range of apprentices, helping them to acquire top talent and tackle skills shortages associated with an ageing workforce by training and upskilling. The Motor Finance Specialist Apprenticeship offers the opportunity to specialise in a key growth area of the automotive industry, with learning outcomes spanning the sale of motor finance products, financial regulation and compliance and customer service.
“With recent reforms to apprenticeships firmly focused on improving quality in the system and giving employers the skills they need, there has never been a better time to take on an apprentice.”
Note to editors:
More information on the Motor Finance Specialist Apprenticeship, and the groups we partnered with in its development, can be found here.Training providers 3aaa, Calibre Group Solutions and Simply Academy have signed up to deliver the apprenticeship.The FLA’s SAF initiative has been running since 2017, and was devised to boost professionalism in motor dealerships and increase consumer confidence in car finance.The SAF Advanced course (Certificate for Automotive Finance Specialists (CertAutoFS)) is available on the London Institute of Banking & Finance website. The Finance and Leasing Association is the leading industry body for the asset, consumer and motor finance sectors.In 2017, members provided £44 billion of new finance to help households and businesses purchase cars. Over 88% of all private new car registrations in the UK were financed by FLA members.For media queries, please contact the FLA press office on 020 7420 9656.
Asset finance new business down 6% in quieter September
9 November 2017
New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) fell by 6% in September, compared with the same month last year. In Q3 2017, new business fell by 2% compared with the same quarter in 2016.
While new finance for business equipment grew in September by 4% compared with the same month in 2016, new finance for plant and machinery fell by 8% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“September was a quieter month for the business car and plant and machinery finance sectors. Nevertheless, the asset finance market has returned a strong performance so far in 2017, with new business overall 6% higher than in the previous year. Over the same period, UK business investment is forecast to have grown by only 2.3%.
“Recent data revisions by the Office for National Statistics suggest that the asset finance industry’s contribution to supporting business investment is even greater than previously thought. FLA calculations show that the industry financed more than 35% of UK investment in machinery, equipment and purchased software in the twelve months to June 2017 – an eight-year high.”
Sep 2017
% change on prev. year
3 months to Sep
2017
% change on prev. year
12 months to Sep
2017
% change on prev. year
Total FLA asset finance (£m)
2,750
-6
7,574
-2
31,611
+5
Total excluding high value (£m)
2,740
-2
7,381
+3
30,579
+6
Data Extracts:
By asset:
Plant and machinery finance (£m)
494
-8
1,537
+5
6,505
+12
Commercial vehicle finance (£m)
711
+1
1,764
-2
7,488
+2
IT equipment finance (£m)
212
-4
549
-5
2,214
-3
Business equipment finance (£m)
219
+4
632
+8
2,567
+12
Car finance (£m)
888
-8
2,396
+2
9,763
+5
Aircraft, ships and rolling stock finance (£m)
20
+24
34
-77
615
+20
By channel:
Direct finance (£m)
1,283
-5
3,711
0
15,506
+4
Broker-introduced finance (£m)
520
-4
1,423
+3
5,723
+12
Sales finance (£m)
937
+3
2,248
+6
9,350
+6
By product:
Finance leasing (£m)
344
-3
941
0
4,000
-3
Operating leasing (£m)
655
-6
1,658
0
7,063
+6
Lease/Hire purchase (£m)
1,434
-2
4,045
+3
16,589
+9
Other finance (£m)
316
-24
930
-21
3,959
-4
Note to editors:
In 2016, FLA members provided £118 billion of new finance to UK businesses and households. £30 billion of finance was provided to businesses and the public sector. FLA members financed more than a third of UK investment in machinery, equipment and purchased software in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Second charge mortgage new business grows in November
11 January 2018
Commenting on the November 2017 new business figures for the second charge mortgage market, Fiona Hoyle, Head of Consumer and Mortgage Finance at the Finance & Leasing Association (FLA), said:
“The second charge mortgage market reported further modest growth in November, and in the first 11 months of 2017, new business volumes increased by 11% compared with the same period in 2016.
“Lenders remain focused on fully embedding the new regime, which sees first and second charge mortgages regulated on the same basis.”
Table 1: New second charge mortgage lending
Nov 2017
% change on prev. year
3 months to Nov 2017
% change on prev. year
12 months to Nov 2017
% change on prev. year
Value of new business (£m)
80
+3
242
+8
996
+13
Number of new agreements (No.)
1,815
+2
5,388
+6
21,288
+9
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 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit, representing over a third of total new consumer credit written in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Asset finance new business holds steady
11 January 2018
New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) in November was £2.5 billion, a similar level to the same month in 2016.
The commercial vehicle finance and IT equipment finance sectors reported new business up in November by 5% and 1% respectively, compared with the same month in 2016, while new finance for plant and machinery fell by 3% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The asset finance market reported a broadly stable picture across the main asset sectors in November, and remains on course to report a record level of annual new business in 2017 of around £32 billion. This would represent new business growth of 6% compared with 2016, in line with expectations.”
Nov 2017
% change on prev. year
3 months to Nov
2017
% change on prev. year
12 months to Nov
2017
% change on prev. year
Total FLA asset finance (£m)
2,541
0
7,962
0
31,804
+4
Total excluding high value (£m)
2,531
+4
7,936
+3
30,919
+6
Data Extracts:
By asset:
Plant and machinery finance (£m)
481
-3
1,464
-2
6,506
+10
Commercial vehicle finance (£m)
691
+5
2,061
+4
7,574
+2
IT equipment finance (£m)
235
+1
642
+5
2,246
-4
Business equipment finance (£m)
209
-4
624
+4
2,566
+9
Car finance (£m)
738
-2
2,538
-1
9,854
+5
Aircraft, ships and rolling stock finance (£m)
8
-60
45
-45
574
+18
By channel:
Direct finance (£m)
1,186
-2
3,864
0
15,595
+3
Broker-introduced finance (£m)
526
+14
1,551
+7
5,868
+13
Sales finance (£m)
818
+9
2,521
+7
9,456
+7
By product:
Finance leasing (£m)
286
-9
959
-2
3,948
-4
Operating leasing (£m)
607
+3
1,816
-2
7,143
+6
Lease/Hire purchase (£m)
1,371
-2
4,325
+3
16,745
+7
Other finance (£m)
276
+11
862
-9
3,968
-4
Note to editors:
In 2016, FLA members provided £118 billion of new finance to UK businesses and households. £30 billion of finance was provided to businesses and the public sector. FLA members financed more than a third of UK investment in machinery, equipment and purchased software in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Second charge mortgage new business growth in October
13 December 2017
Commenting on the October 2017 new business figures for the second charge mortgage market, Fiona Hoyle, Head of Consumer and Mortgage Finance at the Finance & Leasing Association (FLA), said:
“The second charge mortgage market reported growth in October, with new business up 20% by value and 19% by volume compared to the same period in 2016. The number of new second charge mortgages was 1,880.
“A second mortgage continues to be a useful option for customers seeking to raise additional funds without wanting to change their existing mortgage, and are regularly used to fund home improvements.”
Table 1: New second charge mortgage lending
Oct 2017
% change on prev. year
3 months to Oct 2017
% change on prev. year
12 months to Oct 2017
% change on prev. year
Value of new business (£m)
85
+20
254
+15
993
+13
Number of new agreements (No.)
1,880
+19
5,491
+10
21,247
+8
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 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit, representing over a third of total new consumer credit written in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Continued growth in consumer finance in October
13 December 2017
New figures released today by the Finance & Leasing Association (FLA) show growth of 10% in consumer finance new business in October, compared with the same month last year.
Credit card and personal loan new business together grew by 13% compared with October 2016, while retail store and online credit new business increased by 3%. Second charge mortgage new business increased 20% by value and 19% by volume over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The growth in consumer finance new business so far in 2017 has been in line with expectations. The latest research from Oxford Economics on behalf of the FLA suggests that total UK new consumer credit will grow by 4.1% in 2017 overall and by 1.2% in 2018.”
Table 1: New consumer credit lending
Oct 2017
% change on prev. year
3 months to Oct 2017
% change on prev. year
12 months to Oct 2017
% change on prev. year
Total FLA consumer finance (£m)
7,832
+10
23,995
+5
92,504
+6
Data extracts:
Retail store and online credit (£m)
613
+3
1,679
+5
6,720
+2
Credit cards & personal loans (£m)
4,075
+13
11,971
+6
47,447
+7
Second charge mortgages (£m)
85
+20
254
+15
993
+13
Car finance (£m)
2,727
+8
8,971
+5
33,218
+6
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 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit representing over a third of total new consumer credit written in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Consumer finance up 3% in September
9 November 2017
New figures released today by the Finance & Leasing Association (FLA) show growth of 3% in consumer finance new business in September, compared with the same month last year. In Q3 2017, new business grew by 6% compared with the same quarter in 2016.
In September, credit card and personal loan new business together grew by 3% compared with the same month in 2016, while retail store and online credit new business increased by 6%. The value of second charge mortgage new business was similar to September 2016, while new business volumes fell by 2% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“September saw consumer finance new business grow at its slowest rate since April. With consumer confidence subdued, UK new consumer credit is expected to grow by 3.3% in 2017 as a whole, down from 6.3% in 2016.”
Table 1: New consumer credit lending
Sep 2017
% change on prev. year
3 months to Sep 2017
% change on prev. year
12 months to Sep 2017
% change on prev. year
Total FLA consumer finance (£m)
9,009
+3
23,771
+6
91,821
+6
Data extracts:
Retail store and online credit (£m)
565
+6
1,623
+8
6,702
+3
Credit cards & personal loans (£m)
3,858
+3
11,957
+8
46,993
+6
Second charge mortgages (£m)
77
0
259
+16
979
+10
Car finance (£m)
4,146
+2
8,748
+5
33,021
+6
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 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit representing over a third of total new consumer credit written in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.
Consumer new car finance volumes down 11% in September
9 November 2017
New figures released today by the Finance & Leasing Association (FLA) show that new business volumes in the point of sale (POS) consumer new car finance market fell by 11% in September, compared with the same month in 2016, while the growth in the value of new business was flat over the same period. In Q3 2017 overall, new business was up 1% by value, but fell 9% by volume.
The percentage of private new car sales financed by FLA members through the POS held steady at 86.0% in the twelve months to September.
The POS consumer used car finance market reported new business in September up 9% by value and 3% by volume, compared with the same month last year.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The performance of the POS consumer new car finance market in September continued to reflect recent trends in private new car sales.
“Despite subdued consumer confidence, new business volumes in the POS consumer car finance market overall were stable in the first nine months of 2017, compared with the same period in 2016.”
Table 1: Cars bought on finance by consumers through dealerships
New business
Sep 2017
% change on prev. year
3 months to Sep 2017
% change on prev. year
12 months to Sep 2017
% change on prev. year
New cars
Value of advances (£m)
2,869
0
4,898
+1
18,358
+3
Number of cars
144,143
-11
254,167
-9
985,382
-5
Used cars
Value of advances (£m)
1,277
+9
3,849
+11
14,663
+10
Number of cars
110,000
+3
337,170
+5
1,303,848
+5
Table 2: Cars bought on finance by businesses
New business
Sep 2017
% change on prev. year
3 months to Sep 2017
% change on prev. year
12 months to Sep 2017
% change on prev. year
New cars
Number of cars
41,827
-16
119,873
-6
505,930
-1
Used cars
Number of cars
3,862
-8
16,397
+34
58,492
+34
Note to editors:
In 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit, over a third of total new consumer credit written in the UK in 2016. £41 billion of it supported the purchase of new and used cars, including over 86% of private new car registrations. 2. For media enquiries, please contact the FLA press office on 020 7420 9656.
Second charge mortgage market down 2% in September
9 November 2017
Commenting on the September 2017 new business figures for the second charge mortgage market, Fiona Hoyle, Head of Consumer and Mortgage Finance at the Finance & Leasing Association (FLA), said:
“The fall in new business volumes in September comes amid subdued consumer confidence which has affected the housing market as a whole. It follows six consecutive months of growth in second charge mortgage new business volumes which grew by 11% in the first nine months of 2017 to 16,043.
“Lenders are continuing to embed the new regulatory regime which puts first and second charge mortgage regulation on the same footing.”
Table 1: New second charge mortgage lending
Sep 2017
% change on prev. year
3 months to Sep 2017
% change on prev. year
12 months to Sep 2017
% change on prev. year
Value of new business (£m)
77
0
259
+16
979
+10
Number of new agreements (No.)
1,693
-2
5,594
+11
20,951
+4
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 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit, representing over a third of total new consumer credit written in the UK in 2016.For media enquiries, please contact the FLA press office on 020 7420 9656.