Shawbrook supports Blue Motor Finance Limited’s growth ambitions

Shawbrook Bank has announced a new partnership with specialist hire-purchase lender, Blue Motor Finance Limited (BMFL). The deal will provide BMFL with a committed Platform Lending facility that will provide a stable, flexible, and simple source of capital which enables BMFL to deliver nearly £500m of new car finance over the next two years.

Blue Motor Finance Limited, owned by Cabot Square Capital, operates in the used car market, providing hire-purchase loans to consumers through its extensive network of brokers and dealerships. First established in 2014, BMFL has quickly grown into one of the UK’s leading fintech companies, providing over £2.5 billion of hire-purchase lending to date

By making use of automated decision-making technology, which results in the majority of application decisions being made within a minute, the success of Blue Motor’s digital-first proposition is reflected in its positive customer feedback and impressive Trustpilot rating (4.5).

As part of Shawbrook’s Speciality Finance offering, a Platform Lending facility is a helpful tool for specialist non-bank lenders, allowing them to efficiently originate and manage a growing portfolio of loans without the obligation to keep these loans on their own balance sheet.

A Platform Lending facility offers a highly capital-efficient means to secure a stable line of wholesale funding, providing lenders with a 100% up-front funding solution.

Tiku Patel, Chief Executive Officer at Blue Motor Finance Limited said: “We are delighted to be entering into this long-term partnership with Shawbrook. They are already proving to be highly collaborative and innovative and with their support we hope to extend our capabilities further. Our aim remains to provide good customer service and approve prudent lending to deliver predictable and great customer outcomes.”

Paul Went, Managing Director at Shawbrook (pictured) said: “BMFL’s dedication to its customers coupled with its technology-led approach truly sets it apart from other finance providers in this highly competitive market.

“This relationship with Blue Motor Finance demonstrates our commitment here at Shawbrook to supporting a broad range of specialist non-bank lenders across a range of markets and asset classes, including consumer car finance, with a full suite of products to support their cashflow and capital requirements.”