New business in the point of sale (POS) consumer car finance market grew 12% by value and 8% by volume in 2016.

New business was up 3% by value and down 3% by volume in December, compared with the same month in 2015, figures released today by the Finance & Leasing Association (FLA) show.

The POS consumer new car finance market reported new business up 1% by value and 8% lower by volume in December compared with the same month in 2015. In 2016 as a whole, new business grew 12% by value and 6% by volume.

The percentage of private new car sales financed by FLA members through the POS reached 86.6% in 2016, up from 81.4% in 2015.

The POS consumer used car finance market reported new business growth in December of 7% by value and 2% by volume. In 2016 as a whole, new business grew 12% by value and 9% by volume.

Geraldine Kilkelly, head of research and chief economist at the FLA, said: “The point of sale consumer car finance market reported another record year in 2016, with new business volumes reaching 2.3 million cars.

“Our latest confidence survey suggests broadly stable new business volumes in 2017.”