New figures released today by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) grew by 6% in June, compared with the same month in 2018. In the first half of 2019, new business was 8% higher than in the same period in 2018.
The commercial vehicle finance and plant and machinery finance sectors reported new business up in June by 10% and 1% respectively compared with the same month in 2018. New business reported by the business equipment finance sector fell by 1% over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said: “A strong performance by the asset finance market in the first half of 2019 meant the latest annual new business total reported by the industry reached a record level of more than £34 billion.
“Asset finance continues to be popular with businesses of all sizes. Of the total new finance provided to businesses in the first six months of 2019, more than £10 billion went to SMEs – 6% higher than in the first half of 2018.”