New car finance volumes up 13%

Figures released today by the Finance & Leasing Association (FLA) show the number of new cars bought by consumers on finance provided through dealerships increased by 13% in July, compared with the same month last year.

The percentage of private new car sales financed by FLA members through dealerships in the twelve months to July reached 78.7%, up from 78.1% in the twelve months to June.

The point-of-sale consumer used car finance market also showed continued growth, with new business volumes up by 9% compared with July 2014.

Commenting on the figures, Geraldine Kilkelly, head of research and chief economist at the FLA said,

‘The point-of-sale consumer car finance market has continued to grow in line with expectations. With the latest new car registrations for August suggesting robust growth in demand, we expect new car finance volumes to continue to grow over the coming months.’

Table 1: Cars bought on finance by consumers through dealerships    
  Jul 2015 % change on prev. year 3 months to Jul 2015 % change on prev. year 12 months to Jul 2015 % change on prev. year
New cars            
Value of advances (£m) 1,160 +17 3,775 +16 15,151 +14
Number of cars 70,444 +13 228,629 +11 939,696 +10
Used cars            
Value of advances (£m) 1,084 +14 3,096 +12 11,457 +14
Number of cars 102,322 +9 292,369 +6 1,098,371 +8

 

Table 2: Cars bought on finance by businesses        
  Jul 2015 % change on prev. year 3 months to Jul 2015 % change on prev. year 12 months to Jul 2015 % change on prev. year
New cars            
Number of cars 46,150 -5 138,773 +11 512,371 +13
Used cars