All articles by Jo Tacon
Jo Tacon
Green survey finds fleets unprepared for CO2 changes
Green survey finds fleets unprepared for CO2 changes A survey of fleet managers undertaken by the BMW-owned multimarque fleet management and leasing company Alphabet has found that, despite the issues high visibility in specialist and popular media, the environment is not at the forefront of policy decisions for the majority of those in charge of company car schemes.
Welcome Financial Services cuts back non-standard lending
Welcome Financial Services cuts back non-standard lending Non-standard lender Welcome Car Finance has stopped providing consumer hire purchase through intermediaries. Welcome, part of Cattles plc, announced that, following a review of distribution channels and its product portfolio, it has made a business as usual strategic decision to stop working through third-party dealerships and brokers, in common with many lenders in the mortgage market, to maximise profitability whilst looking to grow the business in Welcome Car Finance. The hire purchase provider will concentrate on its own chain of Welcome Car Finance retail outlets, it said.
Blue expands its brokering business as cost of funds rises
Non-prime finance house Blue Motor Finance has reacted to the recent credit crunch by retracting its lending business and increasing the business it proposes to its brokerage operation Managing director John Byrne confirmed the change in strategy, while stressing that the decision to increase its brokering business was taken purely because the rise in the cost of funds made it uneconomical for Blue to continue lending through its dealer partners We had made a commercial decision in January to slow our new business levels, whilst looking for profitable partnerships
Captive to have
Manufacturer Ford has sold two of its premium brands, Jaguar and Land Rover, to Indian conglomerate Tata in a deal worth $2.3bn (£1.1bn) Ford said in a statement that its finance arm Ford Motor Credit would continue to provide financing for Jaguar and Land Rover dealers and customers for a transitional period of “up to 12 months”. Referring to this arrangement, as well as to agreements between Tata and Ford for the latter to continue to provide components, technologies, R&D, IT, accounting and engineering support to its former brands for “differing periods”, Ford added: “The parties believe these arrangements will support Jaguar Land Rover’s current product plans, while providing Jaguar Land Rover freedom to develop its own stand-alone capabilities in the future that will best serve its premium manufacturer requirements.”
Looking forward?
The previous year brought notable regulatory changes to the motor finance and fleet leasing markets, in areas as diverse as how to treat customers fairly – still an unresolved issue – and using mobile phones in company cars This year is shaping up to be equally as tortuous, legally speaking; as this issue went to press came news that the European Parliament has approved the much-debated, long-gestating Consumer Credit Directive on the 800bn Europe-wide retail loan market
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H1 results show impact of car sales fall
National car retail group Lookers has seen its results for the six months to June 30 2008 hit by the turbulent macroeconomic climate, said chief executive Ken Surgenor, with adjusted pre-tax profits down 14 per cent to £15.5m (H1 2007: £18.1m)
Broker wins supermarket supply deal
Broker wins supermarket supply deal North-eastern vehicle and asset finance broker One Stop Shop Finance has agreed a deal with car supermarket Tyneside Autoparc to supply point-of-sale motor finance for all customers at the Autoparcs 25 individual used car dealerships.
Retail group raises turnover but sees profits fall
Retail group raises turnover but sees profits fall The retail group JCT600 announced a mixed result in its 2007 year-end accounts, with organic turnover up 3.3 per cent year on year to £555m, but with like-for-like operating profits down 8.8 per cent to £14.9m, due to reduced margins in vehicle sales and increased expenses, JCT600 said.
Prime motor lender shuts its doors
Prime motor lender shuts its doors Motor finance house Paragon Car Finance has withdrawn from UK auto lending, it announced. A spokesperson for Paragon Car Finance, part of the Paragon Group, said: “As part of a restructuring programme, Paragon Car Finance is withdrawing from the car finance market
Former Fortis Lease boss joins Zenith Vehicle Contracts
Gerard Moon, the former CEO of lessor Fortis Lease UK, is to join independent vehicle leasing company Zenith Vehicle Contracts in the role of commercial director