Auto Finance Sponsored by Auto Finance Market Data Consumer car finance new business volumes fell by 6% in July 2023 Published: 11th September 2023 Share New figures released today by the Finance & Leasing Association (FLA) show that consumer car finance new business volumes fell in July 2023 by 6% compared with the same month in 2022. The corresponding value of new business fell by 5% over the same period. In the seven months to July 2023, new business also decreased 5% by value and 6% by volume compared with the same period in 2022. The consumer new car finance market reported a fall in new business of 2% by value and 4% by volume in July compared with the same month in 2022. In the seven months to July 2023, new business volumes in this market remained 6% lower than in the same period in 2022. The consumer used car finance market reported a fall in new business in July of 8% by value and 6% by volume compared with the same month in 2022. In the seven months to July 2023, new business volumes in this market remained 5% lower than in the same period in 2022. Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “The consumer car finance market reported a modest fall in new business in July, in line with the performance of the market so far this year and reflecting more cautious consumer sentiment given the higher interest rate environment. “FLA’s latest research suggests that the value of consumer car finance new business in 2023 is likely to be only 2.5% lower than in 2022 at £39.8 billion. The value of new business provided to consumers for new car purchases is expected to grow by 2.1% in 2023 to £17.5 billion, while consumer used car finance new business by value is forecast to fall by 5.7% in 2023 to £22.3 billion.” Cars bought on finance by consumers through the point of sale New business July 2023 % change on prev. year 3 months to Jul 2023 % change on prev. year 12 months to Jul 2023 % change on prev. year New cars Value of advances (£m) 1,308 -2 4,329 2 16,843 -3 Number of cars 49,859 -4 166,668 -1 654,600 -7 Used cars Value of advances (£m) 1,883 -8 5,785 -7 22,706 -2 Number of cars 125,064 -6 377,741 -7 1,499,120 -2 Total cars Value of advances (£m) 3,191 -5 10,114 -4 39,548 -2 Number of cars 174,923 -6 544,409 -5 2,153,720 -4 Cars bought on finance by businesses New business July 2023 % change on prev. year 3 months to Jul 2023 % change on prev. year 12 months to Jul 2023 % change on prev. year New cars Number of cars 30,237 43 98,413 50 339,844 24 Used cars Number of cars 6,022 -23 16,554 -46 61,324 -20 Lisa Laverick Editor - Asset Finance Connect Sign up to our newsletter Featured Stories Market DataConsumer car finance new business grew by 8% in April Market DataConsumer car finance new business volumes fell by 7% in March 2024 Market DataConsumer car finance new business volumes grew by 1% in February 2024 Auto Finance
