New cars being bought on finance in record numbers

New cars being bought on finance in record numbers

In figures recently released by the Finance and Leasing Association (FLA), we see that motorists have been bestowed over £9 billion in finance to pay for their vehicle purchases, and that more than 650,000 vehicles have been paid for on finance. In the twelve months to November 2012, the amount of finance supplied to consumers was up by 34% (around £2 billion) over the same period of 2011. This strong growth is thought to be to a great extent fuelled by excellent deals provided by car showroom lenders.

Head of Motor Finance at the FLA, Paul Harrison, commented: "Motor finance companies have provided drivers with an extra £2 billion of finance in the last 12 months allowing thousands more people to drive away from the showroom in a new car... These figures show continued strong growth in the new car market as incentivised deals continue to make new car prices attractive for buyers."

The figures also go to show that during the past 12 months, 70.8% of new private car sales were bankrolled by showroom-derived financial products, and of these agreements, 63% were of the Personal Contract Purchase (PCP) type.

WMCW Admin

Reporting on news on topics such as used car industry prices, automobile recalls, site news and updates, opinion pieces about the used car market, and other appropriate automotive information.

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