Consumer car finance new business grew by 4% in September

Consumer car finance new business volumes grew in September 2024 by 4% compared with the same month in 2023, according to new figures released today by the Finance & Leasing Association (FLA). The corresponding value of new business increased by 8% over the same period. In the first nine months of 2024, new business was 2% lower by volume compared with the same period in 2023.

The consumer new car finance market reported new business by value in September 16% higher than in the same month in 2023, while new business volumes grew by 8%. In the nine months to September 2024, new business volumes in this market were 3% lower than in the same period in 2023.

The consumer used car finance market reported a fall in the value of new business in September of 1% compared with the same month in 2023, while new business volumes grew by 1%. In the nine months to September 2024, new business volumes in this market were 1% lower than in the same period in 2023.

Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “Overall, the consumer car finance market reported growth in both the value and volume of new business in September which saw the issue of a new registration plate.

“In Q3 2024 as a whole, new business volumes in this market were 1% higher than the same quarter in 2023.

“The consumer car finance market is the largest of the UK consumer credit markets accounting for 36% of the total value of outstanding consumer credit contracts at the end of September 2024. It currently helps more than 6 million consumers fund car purchases across all regions of the UK.”

Table 1: Cars bought on finance by consumers through the point of sale
New business	Sep 2024	% change on prev. year	3 months to Sep 2024	% change on prev. year	12 months to Sep 2024	% change on prev. year
New cars
Value of advances (£m)	2,611	16	4,976	12	17,418	3
Number of cars	91,645	8	175,704	5	625,501	-4
Used cars
Value of advances (£m)	1,796	-1	5,464	-3	21,369	-4
Number of cars	120,602	1	369,451	0	1,448,355	-2
Total cars
Value of advances (£m)	4,407	8	10,440	4	38,787	-1
Number of cars	212,247	4	545,155	1	2,073,856	-3

Table 2: Cars bought on finance by businesses
New business	Sep 2024	% change on prev. year	3 months to Sep 2024	% change on prev. year	12 months to Sep 2024	% change on prev. year
New cars
Number of cars	32,371	-7	80,791	-15	359,674	2
Used cars
Number of cars	4,005	-13	15,721	-1	60,579	-3