New figures released by the Finance & Leasing Association (FLA) show that the consumer car finance market reported a fall in new business volumes of 27% in February 2021, compared with the same month in 2020.
The consumer new car finance market reported a fall in new business volumes of 34% in February compared with the same month in 2020. The percentage of private new car sales financed by FLA members in the twelve months to February 2021 was 92.8%.
The consumer used car finance market reported new business volumes 25% lower in February than in the same month in 2020.
Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said:
“The UK lockdown restrictions over the winter months contributed to a fall in consumer car finance new business volumes of just over a quarter.
“As car showrooms re-open and consumer confidence recovers, we expect a strong rebound in demand. The value of annual new business in the consumer car finance market is expected to reach its pre-pandemic level this year.”
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Table 1: Cars bought on finance by consumers through the point of sale |
||||||
|
New business |
Feb |
% change on |
3 months to |
% change on |
12 months |
% change |
|
New cars |
||||||
|
Value of advances (£m) |
659 |
-27 |
2,613 |
-24 |
14,869 |
-24 |
|
Number of cars |
29,252 |
-34 |
111,200 |
-30 |
659,809 |
-28 |
|
Used cars |
||||||
|
Value of advances (£m) |
1,243 |
-23 |
3,510 |
-21 |
15,228 |
-18 |
|
Number of cars |
93,873 |
-25 |
265,443 |
-24 |
1,161,932 |
-22 |
|
Total cars |
||||||
|
Value of advances (£m) |
1,902 |
-24 |
6,123 |
-23 |
30,097 |
-21 |
|
Number of cars |
123,125 |
-27 |
376,643 |
-26 |
1,821,741 |
-25 |
|
Table 2: Cars bought on finance by businesses |
||||||
|
New business |
Feb 2021 |
% change on |
3 months |
% change on |
12 months |
% change on |
|
New cars |
||||||
|
Number of cars |
16,036 |
-24 |
62,657 |
-21 |
253,688 |
-40 |
|
Used cars |
||||||
|
Number of cars |
3,396 |
-5 |
11,065 |
-24 |
55,477 |
1 |
*Article Source http://www.financingyourcar.org.uk
