The Finance & Leasing Association (FLA) are the industry body for the asset finance, consumer finance and motor finance sectors, and they have announced that new car finance sales rose 22% by volume in March 2012 compared to March last year. Sales by value were also up 33% for the month.
Nearly two-thirds (65.9%) of all private new car sales over the last 12 months have been finance sold in dealer showrooms, which is an increase compared to the 56.6% of sales in the previous 12 months.
Most finance products helped boost their sales, leasing was up by 50%, hire purchase by 37% and Personal Contract Purchase (PCP) by 30%.
There has also been growth in the used car finance market of 6%, with just under 74,000 used cars being sold in March.
FLA head of motor finance Paul Harrison spoke to MotorTrader.com and said that the strength of the new and used car finance figures in March are great news for the UK Motor industry.
He also said that this year’s number of new cars sold is 22% higher than last year, which shows that forecourt finance continues to be extremely popular.