Consumer car finance new business volumes up 5% in September

The Finance & Leasing Association (FLA) has reported that consumer car finance new business volumes grew by 5% in September 2025 compared with the same month last year, while the value of new business increased by 9% over the same period.

Over the first nine months of 2025, new business volumes were 1% higher than in the same period of 2024, reflecting steady recovery across the car finance market.

The consumer new car finance market recorded particularly strong growth, with both the value and volume of new business up 11% year-on-year in September. For the nine months to September, new business volumes in this segment rose 7% compared with the same period in 2024.

In contrast, the consumer used car finance market saw more modest growth, with the value of new business 6% higher and volumes up 1% in September compared with a year earlier. Over the nine-month period, however, used car finance new business volumes were 2% lower than the same time last year.

“The consumer car finance market returned to growth in September supported by a strong performance in the new car finance sector. It was a record month for new battery electric vehicles financed by consumers using point-of-sale car finance, accounting for 17% of total volumes.

“The performance of the consumer car finance market so far this year suggests it is on track to meet expectations of 6% growth in the value of new business in 2025 as a whole.

“FLA motor finance providers currently help more than six million consumers buy new and used cars across all regions of the UK which is equivalent to enabling more than one in ten UK adults to stay on the move.”

Table 1: Cars bought on finance by consumers through the point of sale
New business	Sep 2025	%  change on prev. year	3 months to Sep 2025	% change on prev. year	12 months to Sep 2025	% change on prev. year
New cars
Value of advances (£m)	2,900	11	5,282	6	18,845	8
Number of cars	101,581	11	185,234	5	658,582	5
Used cars
Value of advances (£m)	1,890	6	5,619	4	21,671	2
Number of cars	120,728	1	360,278	-1	1,406,507	-2
Total cars
Value of advances (£m)	4,790	9	10,901	5	40,516	5
Number of cars	222,309	5	545,512	1	2,065,089	0
Table 2: Cars bought on finance by businesses
New business	Sep 2025	%  change on prev. year	3 months to Sep 2025	% change on prev. year	12 months to Sep 2025	% change on prev. year
New cars
Number of cars	35,419	8	87,020	7	363,321	0
Used cars
Number of cars	4,427	10	12,881	-19	49,787	-18