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Consumer car finance market grows by 4% in September

Consumer car finance market grows by 4% in September
New figures released by the Finance & Leasing Association (FLA) show that new business in the point of sale (POS) consumer car finance market grew 4% by volume and 7% by value in September, compared with the same month in 2018.  In Q3 2019 as a whole, new business grew 3% by volume and 5% by value.

The value of new business in the POS consumer new car finance market grew by 5% in September compared with the same month in 2018, while new business volumes fell by 1% over the same period.

The percentage of private new car sales financed by FLA members through the POS was 91.1% in the twelve months to September 2019.

The POS consumer used car finance market reported new business in September up 12% by value and 9% by volume, compared with the same month in 2018. In Q3 2019 as a whole, new business increased 6% by value and 5% by volume compared with Q3 2018.

Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:

“In September, the POS consumer used car finance market reported its strongest growth since August 2018, which contributed to an increase in new business volumes of 5% in Q3 2019 as a whole.

“The POS consumer car finance market overall reported stable new business volumes in the first nine months of 2019, in line with expectations.”

Table 1: Cars bought on finance by consumers through the point of sale

New business

Sep 2019

% change on prev. year

3 months to Sep 2019

% change on prev. year

12 months to Sep 2019

% change on prev. year

New cars

 

 

 

 

 

 

Value of advances (£m)

2,642

+5

5,066

+4

19,481

+1

Number of cars

122,526

-1

241,984

0

939,634

-3

Used cars

 

 

 

 

 

 

Value of advances (£m)

1,641

+12

4,807

+6

18,237

+6

Number of cars

128,781

+9

388,742

+5

1,483,851

+2

Total cars

 

 

 

 

 

 

Value of advances (£m)

4,284

+7

9,873

+5

37,717

+3

Number of cars

251,307

+4

630,726

+3

2,423,485

0

 

Table 2: Cars bought on finance by businesses

New business

Sep 2019

% change on prev. year

3 months to Sep 2019

% change on prev. year

12 months to Sep 2019

% change on prev. year

New cars

 

 

 

 

 

 

Number of cars

26,658

-14

91,638

-3

392,096

-5

Used cars

 

 

 

 

 

 

Number of cars

4,231

+18

13,305

+19

63,180

+16