New business volumes in the UK consumer car finance market rose by 33% year-on-year in November, according to the latest statistics from the Finance & Leasing Association (FLA).
In the eleven months to November 2021, new business volumes were 9% higher than in the same period in 2020.
The consumer new car finance market reported new business up 37% by value and 32% by volume in November compared with the same month in 2020. In the eleven months to November 2021, new business volumes in this market were 6% higher than in the same period in 2020.
The percentage of private new car sales financed by FLA members in the twelve months to November 2021 was 92.3%.
The consumer used car finance market reported new business up 55% by value and 33% by volume in November compared with the same month in 2020. In the eleven months to November 2021, new business volumes in this market were 11% higher than in the same period in 2020.
Geraldine Kilkelly, director of research and chief economist at the FLA, said: “The strong growth reported by the consumer car finance market in November reflects low new business volumes reported a year earlier as the UK entered another lockdown to deal with rising cases of Covid-19.
“The market’s recovery continues to be disrupted by supply side shortages and the increasing squeeze on household disposable incomes from higher inflation and interest rates. New business volumes in the consumer car finance market are likely to be just over 2.1 million cars in 2021 as a whole, 12% lower than at the onset of the pandemic in February 2020.”
In November, Rebecca McNeil, chief executive of Close Brothers Retail, was named as the new chair of the FLA.
McNeil has been in her role as Close Brother Retail chief since July 2020, and was previously chief executive of Close Brothers Motor Finance. Prior to that, McNeil has held senior roles at GE Money, AMEX and Barclays, where she served as managing director of the asset finance division, chief operating officer for Barclays Business, and managing director of product for all business and corporate lending.