Figures released by the Finance & Leasing Association show growth of 11% in consumer finance new business in January, compared with the same month last year.
Credit card and personal loan new business together grew by 9% compared with January 2015, while retail store and online credit increased by 1%. The second charge mortgage market reported new business up 36% by value and 17% by volume over the same period.
Commenting on the figures, Geraldine Kilkelly, head of research and chief economist at the FLA, said: “January saw growth across all of the main consumer finance products. Consumer confidence remains high with household spending expected to be the main driver of economic growth again this year.”
Table 1: New consumer credit lending
|Jan 2016||% change on prev. year||3 months to Jan 2016||% change on prev. year||12 months to Jan 2016||% change on prev. year|
|Total FLA consumer finance (£m)||6,436||+11||20,518||+12||81,535||+8|
|Retail store and online credit (£m)||485||+1||1,943||+3||6,551||+3|
|Credit cards & personal loans (£m)||3,528||+9||11,282||+9||41,660||+5|
|Second charge mortgages (£m)||75||+36||229||+37||864||+35|
|Car finance (£m)||2,088||+17||6,262||+20||28,631||+15|