“The Finance and Leasing Association’s latest statistics highlight that the asset finance sector as a whole continues to show strong growth, with new business increasing by 10% since March last year – the highest level on record. This continues the trend of a steady increase in the number of businesses and consumers using asset finance since September 2013, and highlights the important role the industry plays in supporting economic growth.
“This quarter’s growth was driven by the motor sector in particular, which continued to show very strong new business growth of 9% compared to Q1 2015. The IT equipment finance and business equipment finance sectors also saw impressive growth, with new business up by 29% (to £260 million) and 11% (to £226 million) respectively year-on-year. Interestingly, new business deals of up to £20 million saw an increase of 5% compared with last year, a trend we have seen reflected on our books at Aldermore, where there has been an increase in larger deals.
“New business sourced through brokers also saw strong gains of 11% compared to March 2015, especially in vendor finance. This shows the need for those in the lending industry to continue strengthening relationships with intermediaries and brokers, something we have placed particular focus on at Aldermore this year.
“The quarter ahead is likely to be more challenging, with market turmoil and uncertainty predicted around the upcoming EU referendum. For this reason, it’s even more telling that asset finance is continuing to grow despite a drop in business confidence.
“SMEs continue to be the cornerstone of the UK economy and it is vital they are able to access finance options which are tailored and suited to their individual needs. Asset finance is a great choice for many businesses, and I am pleased to see this is reflected in the latest FLA statistics, which continue to paint a very encouraging picture.”
For further enquiries, journalists can contact:
Ali Rolls, Aldermore
Phone: +44 (0)20 81853129
Constanze Ullmann, Cicero Group
Phone: +44(0)20 7297 5978
Mobile: +44 (0) 7741 313 878
Aldermore Group PLC is a specialist lender and savings bank offering straightforward products to Small and Medium-sized Enterprises (SMEs), homeowners and individuals, who we believe are often poorly- or under-served by the wider market.
Aldermore has no branch network but serves customers and intermediary partners online, by phone and face to face through its network of regional offices located around the UK.
Building on its core values of being reliable, expert, dynamic and straightforward, Aldermore aims to deliver banking as it should be.
Established in 2009, Aldermore has grown significantly. At the end of December 2015, lending to customers stood at £6.1 billion and customer deposits totalled £5.7 billion.
For more information, please visit www.aldermore.co.uk.
Aldermore Bank PLC is an operating entity of Aldermore Group PLC. In March 2015, Aldermore Group PLC’s shares (ALD.L) listed on the Main Market of the London Stock Exchange.
Aldermore Bank PLC is regulated by the Prudential Regulation Authority and the Financial Conduct Authority and is registered under the Financial Services Compensation Scheme.
For further information about Aldermore, our financial backers and our PR contacts, please review our Notes to Editors page.