New car finance volumes grew by 4% and used car finance increased by 16% in October, according to the latest figures from the Finance & Leasing Association (FLA).
FLA members sold 62,281 new cars on dealer finance to consumers and 83,720 used cars in October, at a value of £942m and £830m respectively.
Geraldine Kilkelly, head of research and chief economist at the FLA, said: “The used car finance market has reported strong growth since April of this year. It’s on target to record its highest level of annual new business volumes in more than a decade.
“Growth in the consumer new car finance market was in line with the increase in private new car sales in October and follows a particularly strong performance in October 2012 when volumes increased by 40%. The percentage of private new car sales financed by FLA members in the 12 to October 2013 remained steady at 74.2%.”