New figures released by the Finance & Leasing Association (FLA) show that new business in the point of sale (POS) consumer new car finance market grew 15% by value and 10% by volume in May, compared with the same month in 2017.
The percentage of private new car sales financed by FLA members through the POS was 89.3% in the twelve months to May 2018, unchanged compared with the same period to April 2018.
The POS consumer used car finance market also reported new business growth in May 2018 of 12% by value and 9% by volume.
Geraldine Kilkelly, Head of Research and Chief Economist, said:
“Monthly falls in new business volumes reported by the consumer new car finance market in the first three months of 2018 have been followed by a recovery in April and May, in line with demand for new car purchases.
“The POS consumer car finance market reported new business volumes overall up by 4% in the first five months of 2018, consistent with expectations for the year as a whole.â€
| Table 1: Cars bought on finance by consumers through dealerships | ||||||
| New business | May 2018 | % change on prev. year | 3 months to May 2018 | % change on prev. year | 12 months to May 2018 | % change on prev. year |
| New cars | ||||||
| Value of advances (£m) | 1,615 | +15 | 6,657 | +5 | 19,337 | +3 |
| Number of cars | 78,158 | +10 | 329,303 | -1 | 977,508 | -6 |
| Used cars | ||||||
| Value of advances (£m) | 1,552 | +12 | 4,578 | +13 | 16,370 | +13 |
| Number of cars | 131,389 | +9 | 387,565 | +8 | 1,408,064 | +8 |
| Total cars | ||||||
| Value of advances (£m) | 3,166 | +13 | 11,236 | +8 | 35,707 | +7 |
| Number of cars | 209,547 | +9 | 716,868 | +3 | 2,385,572 | +1 |
| Table 2: Cars bought on finance by businesses | ||||||
| New business | May 2018 | % change on prev. year | 3 months to May 2018 | % change on prev. year | 12 months to May 2018 | % change on prev. year |
| New cars | ||||||
| Number of cars | 40,826 | -2 | 132,595 | -4 | 461,482 | -4 |
| Used cars | ||||||
| Number of cars | 4,369 | +35 | 17,398 | +52 | 63,646 | +15 |
