Consumer car finance new business volumes up by 3% in June

15 August 2018

New figures released today by the Finance & Leasing Association (FLA) show that point of sale (POS) consumer new car finance business volumes grew by 1% in June, compared with the same month in 2017, while the value of new business was up by 9%.

The percentage of private new car sales financed by FLA members through the POS was 89.5% in the twelve months to June.

In the POS consumer used car finance market, new business was up 4% by volume and 11% by value in June, compared with the same month in 2017.

Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:

“The point of sale consumer car finance market reported new business volumes up in the first half of 2018 by 4% compared with the same period in 2017. This was in line with expectations, with a modest fall in consumer new car finance volumes offset by single-digit new business growth in the consumer used car finance market.”

Table 1: Cars bought on finance by consumers through dealerships
New business	Jun 2018	% change on prev. year	3 months to Jun 2018	% change on prev. year	12 months to Jun 2018	% change on prev. year
New cars
Value of advances (£m)	1,717	+9	4,962	+18	19,479	+4
Number of cars	83,470	+1	243,495	+12	978,713	-6
Used cars
Value of advances (£m)	1,460	+11	4,562	+16	16,528	+13
Number of cars	119,903	+4	383,302	+10	1,412,991	+7
Total cars
Value of advances (£m)	3,176	+10	9,524	+17	36,007	+8
Number of cars	203,373	+3	626,797	+11	2,391,704	+2

Table 2: Cars bought on finance by businesses
New business	Jun 2018	% change on prev. year	3 months to Jun 2018	% change on prev. year	12 months to Jun 2018	% change on prev. year
New cars
Number of cars	40,691	-22	126,092	-6	449,903	-7
Used cars
Number of cars	5,087	-4	13,615	+17	63,428	+11

Note to editors:

1. In 2017, FLA members provided £128 billion of new finance to UK businesses and households. £96 billion of this was in the form of consumer credit, over a third of total new consumer credit written in the UK in 2017. £44 billion of it supported the purchase of new and used cars, including over 88% of private new car registrations.
2. For media enquiries, please contact the FLA press office on 020 7420 9656.

Original Article