摘要: |
Consumer new car finance fell by 4% in October, but there is a positive outlook for 2021 despite the challenges facing automotive retailers this winter. While COVID and Brexit negotiations undoubtedly dominate the thoughts of most businesses and consumers, the Finance and Leasing Association (FLA) is predicting consumer car finance new business by value is likely to grow by 18% in 2021, following a contraction of 20% in 2020 as a whole. Geraldine Kilkelly, head of research and chief economist at the FLA, said: "The economic outlook improved following the promise of a rollout of a vaccine (which began) before Christmas. "Based on this more positive outlook, our latest research suggests that consumer car finance is likely to grow next year." There is, however, the potential for EU-sourced models to be hit with tariffs that will push up on-the-road (OTR] prices between £1,000 and £2,000. This will, likewise, create a knock-on effect to the cost of finance for consumers in 2021. ASI, the company that analyses vehicle manufacturer finance offers, told AM that finance offers won't suddenly become uncompetitive overnight and captive finance houses will likely take Q1 to evaluate the market and introduce increases from after March. |