Figures released by the Finance & Leasing Association (FLA) show that 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, showing no change compared with the same period to April 2018.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

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 at the FLA, 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.”

The latest figures are not as steep as the growth for April. In that month new business in the point of sale (POS) consumer new car finance market grew 31% by value and 27% by volume, compared with the same month in 2017.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

There was also improvement in car registrations for May 2018. There were 192,000 car registrations for the month, a 3.4% rise over last year’s figures. There have been falls for both June 2018 and the 2018 as a whole by year-on-year comparison.

In 2017, FLA members provided £128bn of new finance to UK businesses and households. £96bn of this was in the form of consumer credit, and 44bn of it supported the purchase of new and used cars, including over 88% of private new car registrations.