Consumer car finance new business volumes fell in January 2025 by 3% compared with the same month in 2024, according to figures released today by the Finance & Leasing Association (FLA).
The corresponding value of new business grew by 4% over the same period. In the twelve months to January 2025, new business was 2% lower by volume compared with the same period in 2024.
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The consumer new car finance market reported new business by value in January 14% higher than in the same month in 2024, while new business volumes grew by 9%. In the twelve months to January 2025, new business volumes in this market were 1% lower than in the same period in 2024.
The consumer used car finance market reported a fall in the value of new business in January of 2% compared with the same month in 2024, while new business volumes fell by 6%. In the twelve months to January 2025, new business volumes in this market were 2% lower than in the same period in 2024.
Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “The consumer new car finance market reported a third consecutive month of new business growth in January.
“By contrast, the consumer used car finance market reported a further single-digit contraction in new business over the same period. Both markets saw growth in average advances compared with January 2024.
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By GlobalData“Our latest research suggests the value of new business provided by the consumer car finance market will grow by 1% in 2025, with growth of 5% in the consumer new car finance market offset by a 2% fall in the consumer used car finance market.
“As always, customers who are worried about meeting payments should speak to their lender as soon as possible to find a solution.”
