Press Release

FLA MONTHLY MOTOR FINANCE STATISTICS 

31 October 2006

FLA (Finance & Leasing Association) today released figures for the motor finance industry for September 2006.

Overview

• The total number of new cars financed in September remained at a similar level to the same month a year ago. Growth of 6% in the business sector contrasted with a 5% decrease in the number of new cars bought on finance by consumers.
• The used car sector reported new business volumes down 17% in September with a further decrease in the number of used cars bought on finance by consumers.

Industry comment

Commenting on the latest figures, Geraldine Kilkelly, FLA’s Head of Research, said:

“The September issue of the 56 registration plate has not sparked the hoped for recovery in demand for dealer finance with penetration of the private new car market poised to reach a new low. The consumer used car finance sector also remains weak. However, there is anecdotal evidence to suggest that some dealerships which include finance as an intrinsic part of the point of sale ‘offer’ to consumers are bucking the trend.”

New business	September  2006	% Change	12 months to September 2006	% Change
Finance provided (£m)   New cars Used cars   Cars financed (No.)   New cars Used cars	1,376 521       111,724 53,241	1% -10%       0% -17%	12,154 6,472       1,008,811 689,665	2% -3%       -2% -8%