Credit, Collections & Insolvency News
New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew in September 2025 by 8% compared with the same month in 2024. In the nine months to September 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 6% higher in September than in the same month in 2024, while the retail store and online credit sector reported a fall in new business of 3% over the same period.
Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said “The consumer finance market reported its highest level of new business by value since March 2025. The performance of the UK consumer credit market so far this year suggests it is on track to meet expectations of 7% growth in 2025 as a whole.
“Consumer credit helps households make essential purchases in a way that suits their budgets. The news that inflation has likely peaked and the potential for further cuts in Bank Rate will provide a confidence boost, but in the near term consumers remain cautious ahead of a Budget that is likely to increase the tax burden on households.”
New consumer credit lending
| Sep 2025 | % change on prev. year | 3 months to Sep 2025 | % change on prev. year | 12 months to Sep 2025 | % change on prev. year | |
| Total FLA consumer finance (£m) | 11,806 | 8 | 31,448 | 5 | 120,322 | 5 |
| Data extracts: | ||||||
| Retail store and online credit (£m) | 763 | -3 | 2,080 | -5 | 9,180 | -3 |
| Credit cards & personal loans (£m) | 5,511 | 6 | 16,183 | 4 | 63,055 | 4 |
| Second charge mortgages (£m) | 202 | 36 | 579 | 25 | 1,991 | 24 |
| Car finance (£m) | 4,790 | 9 | 10,901 | 5 | 40,516 | 5 |
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