New figures released 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

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