Steady growth for POS market
The point-of-sale (POS) consumer new car finance market grew in value by 10% in June, according to figures released by the Finance and Leasing Association (FLA).
It also found a five per cent growth in volume compared to the same month last year, while in the first half of 2016 new business was up 16% by value and 11% by volume.
The percentage of private new car sales financed by FLA members through the POS reached 84.9% in the 12 months to June, up from 84.3% in the 12 months to May. The POS consumer used car finance market also reported new business up nine per cent by value and seven per cent by volume in June, while new business in the first half of 2016 grew 14% by value and 11% by volume.
Geraldine Kilkelly, head of research and chief economist at the FLA, said, ‘The POS consumer car finance market reported a strong performance in the first half of 2016, with double-digit growth in both the new and used car finance markets. Despite modest contractions in private new car registrations in recent months, FLA members have continued to report growth in new business volumes.’