Car market returning to
‘business as usual’ as scrappage scheme effect
dwindles.
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Dealers provided finance for
51,129 used cars in November as the car market returns to
normal.
Finance & Leasing
Association (FLA) statistics reveal the total volume of used cars
declined for the second month in a row, after dropping from 54,112
in September (a traditional peak sales month) to 53,697 in
October.
Nevertheless, compared to
November 2009, November 2010’s figures show a 16% increase in the
number of used cars financed and a 14 per cent increase in the
value of those advances.
The number of new cars bought
on finance by consumers through dealerships declined dramatically
from September’s figure of more than 75,000, to 40,319 in October
and 36,224 in November.
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By GlobalDataHowever, falling car sales
meant the proportion of new cars bought using dealer finance over
the past 12 months rose to 51.5%.
The number of new cars bought
on finance by businesses jumped from 30,765 in September, to more
than 35,000 in October, and then dropped to just 26,444 in
November.
Used cars bought on finance
by businesses dropped from 3,271 in September, to 2,711 in October,
and still further to 2,387 in November.
FLA head of motor finance
Paul Harrison said: “Our latest figures show the car market,
following the previous government’s scrappage scheme, is returning
to business as usual.
“Savvy consumers are seeking used cars from dealerships to
get value for money. And, while the new car market has seen a fall
in the last quarter, finance sold in showrooms now accounts for
more than half of private new car sales.”
|
Cars bought on finance by |
||||||
|
Nov |
Percentage change on |
3 months to Nov |
Percentage change on |
12 months to Nov |
Percentage change on |
|
|
New cars |
||||||
|
Value of advances (£m) |
485 |
–6 |
1,970 |
–3 |
6,478 |
+17 |
|
Number of cars |
36,224 |
–11 |
151,600 |
–3 |
509,918 |
+15 |
|
Used cars |
||||||
|
Value of advances (£m) |
480 |
+14 |
1,472 |
+7 |
5,907 |
+8 |
|
Number of cars |
51,129 |
+16 |
158,938 |
+11 |
635,082 |
+3 |
|
Cars bought on finance by |
||||||
|
Nov |
Percentage change on |
3 months |
Percentage change on |
12 months to Nov |
Percentage change on |
|
|
New cars |
||||||
|
Number of cars |
26,444 |
+5 |
92,336 |
–9 |
385,144 |
–1 |
|
Used cars |
||||||
|
Number of cars |
2,387 |
–8 |
8,369 |
–17 |
47,189 |
–1 |
