Consumer finance new business grew by 4% in July

New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew in July 2025 by 4% compared with the same month in 2024. In the seven months to July 2025, new business in this market was 5% higher than in the same period in 2024.

The credit card and personal loans sectors together reported new business in July 2% higher than in the same month in 2024, while the retail store and online credit sector reported that new business fell by 6% over the same period.

Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said “The consumer finance market represented by FLA members reported an eighth consecutive month of growth in July as new lending increased across most of the main finance products.

“Consumer confidence has shown signs of improving following a further cut in interest rates by the Bank of England.  Our latest research suggests that UK new consumer credit will grow by 7% in 2025 as a whole, with credit card finance new business up by 8% compared with 2024.”

New consumer credit lending

	Jul 2025	% change on prev. year	3 months to Jul2025	% change on prev. year	12 months to Jul 2025	% change on prev. year
Total FLA consumer finance (£m)	10,334	4	30,613	5	119,301	4
Data extracts:
Retail store and online credit (£m)	677	-6	2,130	-4	9,246	-3
Credit cards & personal loans (£m)	5,491	2	16,263	5	62,599	4
Second charge mortgages (£m)	201	23	539	20	1,913	24
Car finance (£m)	3,383	4	10,119	5	40,145	5