The Finance & Leasing Association (FLA) is reporting a significant upswing in new business volumes, with a 12% jump reported in June 2021 compared with the same month last year. The FLA is also saying that in the first half of this year that leap was 31%. It’s a major shift.
Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “The consumer car finance market continued to report solid growth in June, but as expected growth rates are beginning to moderate. The H1 2021 results show that new business levels have recovered strongly as restrictions to deal with the pandemic have been gradually eased. The value of consumer car finance new business in H1 2021 was only 8% lower than in H1 2019.
“Our latest research suggests that the industry has maintained its optimism about the opportunities for growth despite the risks to the economic recovery from further waves of Covid-19. The FLA’s Q3 2021 industry outlook survey shows that 91% of motor finance providers expected new business growth over the next twelve months.”