Credit, Collections & Insolvency News
Latest figures released by the Finance & Leasing Association (FLA) show that consumer finance new business fell by 2% in February 2023 compared with the same month in 2022. In the first two months of 2023, new business was 1% lower than in the same period in 2022.
The retail store and online credit sector reported new business up by 6% in February compared with the same month in 2022, while the credit card and personal loan sectors together reported a fall in new business of 2% over the same period.
Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said “The performance across finance products has varied in recent months, but the consumer finance market overall reported new business so far this year in line with the same period in 2022.”
“While the economic outlook has improved, challenges remain for households and businesses as they deal with the impact of higher prices, taxes, and interest rates. We expect new UK consumer credit to be at a similar level this year to 2022.”
“As always, customers who are worried about meeting payments should speak to their lender as soon as possible to find a solution.”
New consumer credit lending
|
Feb 2023 |
% change on prev. year |
3 months to Feb 2023 |
% change on prev. year |
12 months to Feb 2023 |
% change on prev. year |
|
| Total FLA consumer finance (£m) |
8,104 |
-2 |
25,761 |
-2 |
116,389 |
8 |
| Data extracts: |
|
|
|
|
|
|
| Retail store and online credit (£m) |
700 |
6 |
2,490 |
6 |
9,941 |
7 |
| Credit cards & personal loans (£m) |
4,370 |
-2 |
13,852 |
-1 |
59,960 |
11 |
| Second charge mortgages (£m) |
106 |
-10 |
309 |
0 |
1,557 |
31 |
| Car finance (£m) |
2,622 |
-5 |
8,240 |
-5 |
40,692 |
3 |
