Credit, Collections & Insolvency News
New figures released by the Finance & Leasing Association (FLA) show that new business in the point of sale (POS) consumer car finance market fell 1% by volume in March, compared with the same month in 2018. The corresponding value of new business was at a similar level to March 2018.
The POS consumer new car finance market reported a fall in new business in March of 3% by value and 5% by volume, compared with the same month in 2018.
The percentage of private new car sales financed by FLA members through the POS was 90.9% in the twelve months to March, down from 91.1% in the same period to February.
The POS consumer used car finance market reported new business up 9% by value in March, while volumes grew by 4%, compared with the same month in 2018.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said “The POS consumer car finance market reported new business volumes stable in the first quarter of 2019, with a fall of 2% in the new car finance market offset by growth of 2% in the used car finance market.”
“The Q1 2019 performance reflects our expectations for the year as a whole, with annual new business volumes of around 2.4 million, a similar level to 2018.”
| Table 1: Cars bought on finance by consumers through dealerships | ||||||
| New business |
Mar 2019 |
% change on prev. year |
3 months to Mar 2019 |
% change on prev. year |
12 months to Mar 2019 |
% change on prev. year |
| New cars | ||||||
| Value of advances (£m) |
3,300 |
-3 |
5,546 |
0 |
19,416 |
+4 |
| Number of cars |
160,906 |
-5 |
274,218 |
-2 |
954,073 |
0 |
| Used cars | ||||||
| Value of advances (£m) |
1,627 |
+9 |
4,763 |
+7 |
17,902 |
+11 |
| Number of cars |
130,632 |
+4 |
389,275 |
+2 |
1,470,442 |
+6 |
| Total cars |
|
|
|
|
|
|
| Value of advances (£m) |
4,927 |
0 |
10,309 |
+3 |
37,318 |
+7 |
| Number of cars |
291,538 |
-1 |
663,493 |
0 |
2,424,515 |
+4 |
| Table 2: Cars bought on finance by businesses | ||||||
| New business |
Mar 2019 |
% change on prev. year |
3 months to Mar 2019 |
% change on prev. year |
12 months to Mar 2019 |
% change on prev. year |
| New cars | ||||||
| Number of cars |
43,143 |
-6 |
90,184 |
-7 |
389,878 |
-12 |
| Used cars |
|
|
|
|
|
|
| Number of cars |
7,630 |
-6 |
21,388 |
+30 |
64,826 |
+12 |