Consumer car finance new business by value and volume fell in December 2022 by 6% compared with the same month in 2021. In 2022 as a whole, new business grew 9% by value and 3% by volume compared with 2021, according to new figures released by the Finance & Leasing Association (FLA).

The consumer new car finance market reported a fall in new business of 7% by value and 16% by volume in December compared with the same month in 2021. In 2022 as a whole, new business volumes in this market remained 7% lower than in 2021.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The consumer used car finance market reported a fall in new business of 4% by value and 1% by volume in December compared with the same month in 2021. In the 2022 as a whole, new business volumes in this market were 8% higher than in 2021.

FLA figures from December 2022

Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said:

“The consumer car finance market showed signs of softer demand in the final quarter of 2022.  Despite the challenges faced by the industry from shortages of supply during 2022, the value of new business provided by this market reached a record level of £40.7 billion in 2022, supported by higher underlying asset values.

“While the near-term outlook remains challenging, the UK avoided recession in Q4 2022, inflationary pressures have shown signs of easing, and the labour market remains robust. The FLA’s Q1 2023 Industry Outlook Survey suggested that motor finance providers are more optimistic about the prospects for growth, with 52% expecting some increase in new business over the next year, up from 23% in Q4 2022.

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.

“As always, customers who are worried about meeting payments should speak to their lender as soon as possible to find a solution.”