Tag: Manufacturing

21 March 2018
New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) for deals of up to £20 million grew by 4% in January, compared with the same month last year. Including high value deals, new business increased by 3% over the same period.
The plant and machinery finance and business equipment finance sectors each reported new business up in January by 8% compared with the same month in 2017, while new finance for commercial vehicles fell by 4% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“The asset finance market made a positive start to 2018 with further solid growth in new finance for plant and machinery and business equipment. In particular, new business for agricultural equipment in January was 21% higher than in the same month in 2017.
“We expect asset finance new business growth in 2018 as a whole to be at a similar rate to 2017.”
Jan 2018
% change on prev. year
3 months to Jan
2018
% change on prev. year
12 months to Jan
2018
% change on prev. year
Total FLA asset finance (£m)
2,337
+3
7,523
+3
31,842
+5
Total excluding high value (£m)
2,131
+4
6,926
+2
30,038
+6
Data Extracts:
By asset:
Plant and machinery finance (£m)
509
+8
1,520
+4
6,654
+11
Commercial vehicle finance (£m)
480
-4
1,748
-4
7,462
0
IT equipment finance (£m)
133
+29
663
+14
2,315
+3
Business equipment finance (£m)
191
+8
633
+5
2,596
+7
Car finance (£m)
608
-2
1,928
-2
9,493
+4
Aircraft, ships and rolling stock finance (£m)
28
-14
71
-36
545
+24
By channel:
Direct finance (£m)
1,066
0
3,326
-3
15,047
+3
Broker-introduced finance (£m)
442
+8
1,444
+12
5,690
+11
Sales finance (£m)
622
+10
2,155
+3
9,301
+7
By product:
Finance leasing (£m)
246
0
939
-1
3,809
+6
Operating leasing (£m)
425
-2
1,519
-3
6,744
+1
Lease/Hire purchase (£m)
1,166
0
3,763
0
16,907
+6
Other finance (£m)
359
+10
826
+7
3,313
-3
Note to editors:
In 2017, FLA members provided £128 billion of new finance to UK businesses and households. £32 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 2017.For media enquiries, please contact the FLA press office on 020 7420 9656.