HOW important is the motor finance industry to you? Very important, reveals a new study.
It finances a third of all UK consumer car purchases – and more than a half of all UK car registrations.
That’s why 167,000 jobs are supported by the industry, and proof of how vital finance remains to our businesses, despite the gloom of the credit crunch.
Indeed, nearly 30 per cent of all business capital investment is financed by the industry. And it accounts for £1 in every £12 spent by UK consumers…
The report is the first-ever commissioned by the Finance and Leasing Association, as the body looks to give a boost to its members. After all, they do contribute over £11bn to the national economic output, and provide £2.7bn in tax revenues.
Stephen Sklaroff, FLA director general, was please the FLA’s activities and heightened importance were recognised: ‘At a time when UK businesses and consumers are facing the challenges of an economic downturn, the companies represented by the FLA offer a lifeline.’
‘They provide a wide range of finance adapted to the circumstances of individual consumers and businesses, and our Codes of Practice ensure customers get a fair deal. Oxford Economics’ report shows that finance provided by FLA members helps consumers and businesses manage their cashflow.’
FLA Chairman David Betteley, senior VP of Toyota Financial Services, was also keen to sell the benefits: ‘This report shows how the FLA’s members are meeting the challenge of current conditions.’
‘We offer diversity and affordability, both particularly important at the moment. We support start-ups and established businesses of all sizes, as well as much of the health and transport sectors. We also reduce financial exclusion by helping people on low incomes manage their finances responsibly.’
If ever there were a business case for expanding into vehicle leasing, surely this is it…