FLA members deliver £80bn in new lending in H1 2025

Members of the Finance & Leasing Association (FLA) provided £80.3 billion in new lending during the first half of 2025, marking a 4% increase compared with the same period in 2024, according to figures released today.

The data reflects strong performance across the FLA’s core markets: asset finance, consumer finance, and motor finance. Of the total lending:

£20.2 billion went to businesses to support investment in machinery, equipment, and vehicles, with £12.0 billion directed specifically to small and medium-sized enterprises (SMEs).
£60.1 billion supported household spending, including £21.0 billion in motor finance for new and used cars.
£31.8 billion of total lending came from non-bank lenders, underscoring their growing role in the UK finance landscape.

Stephen Haddrill, Director General of the FLA, highlighted the resilience of the industry through recent economic headwinds.

“During my time as Director General of the FLA, our markets have faced many challenges; firstly, the Covid pandemic, then subsequent supply shortages, a cost-of-living crisis, tariff uncertainty, and indeed regulatory uncertainty,” said Haddrill.

“However, our members and their markets are resilient – annual new business levels increased from around £140 billion a year in 2019 to almost £160 billion in our latest statistics.”

He stressed the importance of the lending in supporting the UK economy: “This is heart-of-the-economy funding – whether it’s supporting small or micro business investment, high street purchases or helping to buy the family car. It matters because it makes a difference to people in their day-to-day lives.”

Despite current challenges in the motor finance sector, Haddrill expressed confidence in its future: “Motor finance lenders are currently weathering a tough period, but they will prevail because they have good products and loyal customers.”

	Q2 2025	% change on prev. year	H1 2025	% change on prev. year	12 months to Jun 2025	% change on prev. year
Total FLA new business (£m)	40,150	2	80,319	4	158,824	4
By customer:
Business (asset) finance (£m)	10,110	-3	20,230	1	39,898	1
Consumer finance (£m)	30,039	4	60,089	5	118,926	4
Within the above:
Motor finance (£m)	13,369	2	27,995	5	53,436	3