Consumer finance new business up by 4% in December

New figures released today by the Finance & Leasing Association (FLA) show that consumer finance new business grew in December 2018 by 4% compared with the same month in 2017, and by 5% in Q4 2018 as a whole.

Credit card and personal loan new business together grew in December by 5% compared with the same month in 2017, while retail store and online credit new business held steady. Second charge mortgage new business increased 6% by value and 13% by volume over the same period.

Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said: “The consumer finance market slowed in the final quarter of 2018 as continued uncertainty about the economic outlook hit consumer confidence.

“2019 is likely to see modest single-digit growth in new consumer credit overall.”