Wednesday, June 16, 2010
Demand for new car finance grows - FLA
| Consumer demand for new car finance rose 20 per cent in April, the eight consecutive month of growth, according to the Finance & Leasing Association. The FLA said although dealer finance was less than pre-recession levels there was still cause for optimism. "The rise in the number of new and used cars bought in April, 16 per cent and 6 per cent respectively, shows that there is still demand in the motor market and that consumers are confident about committing to car purchases and loan repayments in the coming months and years," it said. The April figure gave a true picture of underlying demand for car finance as it was not distorted by the Government scrappage scheme. FLA head of motor finance Paul Harrison said: "These figures are good news for dealers and finance providers, especially since the drop in demand that we saw in other countries when scrappage schemes ended, has not been repeated in the UK. "Both new and used car finance sales were positive in April. But we expect to see sales of new cars declining in the second half of the year as consumers return to the used car market as the stock of used car increases." DATED: 16.06.10 FEED: MT |
