Finance market drops

The number of new cars sold on finance dropped in January by 8% compared to last year, according to the Finance and Leasing Association.

The total number of cars financed decreased by 14% over the same period.

Used car finance was down 11% by value and 15% by volume in January compared with the same month a year ago. Demand from the business sector remained at a similar level to January 2004 whilst consumer demand was somewhat weaker, the FLA says.

Consumer figures relate only to motor finance provided at the point of sale. Direct personal loans are not included.