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FLA members report new business growth of 2% in January 2020

FLA members report new business growth of 2% in January 2020
New figures released today by the Finance & Leasing Association (FLA) show that FLA members provided £11.1 billion of new business in January 2020, 2% higher than in the same month in 2019.

Growth was driven by the consumer finance sector which reported new business up by 4% compared with January 2019.  It was a quieter month for the asset finance and motor finance markets, with falls in new business in January of 3% and 2% respectively, compared with the same month in 2019. 

Commenting on the figures and the industry’s response to the Coronavirus, Stephen Haddrill, Director General at the FLA, said:

“It’s evident that FLA members are supporting individual customers and small businesses right across the economy, but they need the Government and regulators to extend the new financial support schemes to the full range of lenders – banks and independents – to ensure that prompt funding can reach the widest possible numbers of customers at this critical time.”

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

“The market performance in January shows the wide range of support provided by FLA members to the real economy. Although the next few months will be extremely challenging for all industries as consumer demand and business activity shrink significantly, it is vital to maintain the availability of funding so that businesses can meet the upsurge in demand once the isolation period ends.”

To view the release and figures on the website, go to:

 https://www.fla.org.uk/media/news/fla-members-report-new-business-growth-of-2-in-january-2020/

 

Jan-20

% change on prev. year

3 months to Jan 2020

% change on prev. year

12 months to Jan 2020

% change on prev. year

Total FLA new business (£m)

11,106

2

34,171

4

140,559

2

Comprising:

 

 

 

 

 

 

 

 

 

 

 

 

 

Business (asset) finance (£m)

2,542

-3

8,152

-1

35,548

5

Data extracts:

By asset

 

 

 

 

 

 

Plant and machinery finance (£m)

488

-25

1,549

-18

7,144

0

Commercial vehicle finance (£m)

634

3

2,041

-3

9,158

7

IT equipment finance (£m)

221

5

822

15

2,840

2

Business equipment finance (£m)

161

-3

567

-5

2,442

-2

Car finance (£m)

706

-5

2,197

1

9,966

2

Aircraft, ships and rolling stock finance (£m)

70

294

135

111

618

111

By product:

 

 

 

 

 

 

Finance leasing (£m)

264

-6

915

-11

4,361

2

Operating leasing (£m)

512

5

1,724

3

7,002

1

Lease/Hire purchase (£m)

1,334

-7

4,191

-6

19,185

4

Other finance (£m)

369

0

965

18

3,586

16

By channel:

 

 

 

 

 

 

Direct finance (£m)

1,208

-6

3,749

-4

16,587

3

Broker-introduced finance (£m)

494

3

1,522

-2

6,794

8

Sales finance (£m)

653

-2

2,166

0

9,532

1

 

 

 

 

 

 

 

FLA consumer finance (£m)

8,564

4

26,019

6

105,012

2

Data extracts:

 

 

 

 

 

 

Retail store and online credit (£m)

610

4

2,667

5

8,902

3

Credit cards & personal loans (£m)

4,640

7

13,957

7

52,646

0

Car finance (£m)

2,889

-2

8,166

3

37,968

2

Second charge mortgages (£m)

104

22

313

20

1,269

19

Second charge mortgages (number of agreements)

2,168

11

6,830

14

28,239

19

 

 

 

 

 

 

 

Within the above:

 

 

 

 

 

 

FLA car finance

 

 

 

 

 

 

Cars bought on finance by consumers through the point of sale

Value of new advances (£m)

 

 

 

New cars (£m)

1,233

-6

3,944

2

19,559

0

Used cars (£m)

1,656

2

4,222

5

18,409

4

Total cars (£m)

2,889

-2

8,166

3

37,968

2

 

 

 

 

 

 

 

Cars bought on finance by consumers through the point of sale (number of cars)

 

 

New cars

58,667

-10

177,018

-6

926,728

-4

Used cars

131,860

-2

333,865

2

1,487,514

2

Total cars

190,527

-5

510,883

-1

2,414,242

-1

 

 

 

 

 

 

 

Cars bought on finance by businesses (number of cars)

New cars

28,072

-11

88,325

-8

425,144

-4

Used cars

8,355

39

14,862

11

57,347

7

 

*Article Source http://www.financingyourcar.org.uk