Six years of growth for asset finance market in 2016
New figures recently released by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) grew by 5% in 2016 – the sixth consecutive year of growth. New business in December 2016 fell by 13% compared with the same month in 2015.
New business in the commercial vehicle finance and business equipment finance sectors was up 7% and 16% respectively in 2016, while new finance for plant and machinery was flat over the same period.
Commenting on the figures, Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:
“Despite a quiet December, asset finance new business reached £30 billion in 2016 as a whole, the highest annual total since 2008. Our latest industry confidence survey suggests a broadly stable outlook, with modest new business growth in 2017.”