New figures released by the Finance & Leasing Association (FLA) show that point of sale (POS) consumer car finance new business volumes grew 6% in July, compared with the same month in 2017, while the value of new business increased by 11% over the same period.

The POS consumer new car finance market reported new business in July up 5% by volume and 10% by value, compared with the same month in 2017. The percentage of private new car sales financed by FLA members through the POS was 89.8% in the twelve months to July.

The POS consumer used car finance market reported new business in July up 6% by volume and 13% by value, 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 by 4% in the first seven months of 2018, in line with expectations of modest single-digit growth in 2018 as a whole.”

Table 1: Cars bought on finance by consumers through dealerships
New business

Jul 2018

% change on prev. year

3 months to Jul 2018

% change on prev. year

12 months to Jul 2018

% change on prev. year

New cars
Value of advances (£m)

1,376

+10

4,707

+11

19,602

+4

Number of cars

68,786

+5

230,414

+5

982,073

-5

Used cars
Value of advances (£m)

1,513

+13

4,524

+12

16,715

+13

Number of cars

125,153

+6

376,445

+6

1,420,591

+7

Total cars
Value of advances (£m)

2,889

+11

9,232

+11

36,317

+8

Number of cars

193,939

+6

606,859

+6

2,402,664

+2

 

Table 2: Cars bought on finance by businesses
New business

Jul 2018

% change on prev. year

3 months to Jul 2018

% change on prev. year

12 months to Jul 2018

% change on prev. year

New cars
Number of cars

39,930

-14

121,447

-13

443,579

-8

Used cars
Number of cars

4,208

-45

13,664

-16

59,946

-1