9:12 am, November 5, 2012
PRESTIGE finance firm ING has pulled all funding out of the UK leaving luxury car dealers with a £1bn hole to fill.
The funder – which has bankrolled thousands of high-end car deals in the UK – has decided to quit all business here.
The decision is causing a host of dealers and finance brokers huge issues as many luxury car deals are being left without a source of funding.
Brokers like Bridford and Oracle, both of whom used ING, have been left with a banking black hole to fill.
Tim Marlow, director of Bridford, said: ‘It’s going to have a massive impact to prestige dealers. ING leaves a £1bn hole in the market. They were known for doing a lot of prestige cars for directors and companies. The market is not sure who will pick up this as nobody is stepping forward.’
ING is making a number of redundancies in the UK in line with the move, despite rumours it was making a £50m profit on its luxury loan book.
A message sent to lenders from the firm’s chief executive Chris Stamper said the decision has not been taken lightly.
In the email, he said: ‘I am writing to inform you that today, ING has taken the decision to discontinue asset finance activities in the UK and run off its portfolio.
‘In the current economic climate, ING Group has placed its strategic objective on focusing on its core markets and franchises, and concentrating available resources at those markets where they can demonstrate strongest competitive advantage and growth potential.
‘Although ING Lease UK has built a strong reputation in the UK, leasing no longer fits as part of ING’s strategy.’
