Total asset finance new business (primarily leasing and hire purchase) grew in January 2024 by 8% compared with the same month in 2023, according to new figures released today by the Finance & Leasing Association (FLA).

In the twelve months to January 2024, new business was 12% higher than in the same period in 2023.

The business new car finance and commercial vehicle finance sectors reported new business up in January by 17% and 7% respectively, compared with the same month in 2023. The IT equipment finance sector reported new business up by 9% and plant and machinery finance new business held steady over the same period.

Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “The asset finance market made a positive start to 2024 boosted by further growth in the vehicle finance sectors. The agricultural equipment finance sector also recorded strong growth in January as new business grew by 23% compared with the same month in 2023. The continued strength of new vehicle registrations is likely to support asset finance growth in the coming months.

“The industry continued to support business investment by SMEs and larger companies as new asset finance lending to these businesses increased in January by 5% and 13% respectively, compared with the same month in 2023.

 “We welcome the Chancellor’s recognition of the importance of leasing in supporting business investment and increasing productivity by announcing in the Spring Budget 2024 the intention to include leased assets in the full expensing regime.  We urge the Government to make sure this happens as soon as possible so the asset finance industry can help more businesses invest and grow.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.