The objective of the research is to provide evidence to regulators and legislators in support of the argument that leasing is a low-risk transaction.

It is also hoped the research will show investors and funders that leasing is a good prospect in terms of capital allocation.

Jacqueline Mills, director of asset finance and research at Leaseurope, said: “The days of persuading law makers to address our issues by simply saying ‘LGD levels for leasing are good because of asset ownership’ are over. Only robust data with European coverage that has been analysed and presented carefully will make the case.”

She added: “I’m confident that this research project will provide us with the necessary ammunition to defend the interests of leasing in Europe.”

The research programme is divided into several stages and Leaseurope aims to have the first report available to its member organisations by the end of the year although project will continue into 2013.

The Leaseurope Research Fund was set up in 2011 to provide policy focused research for the European leasing sector.