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03/07/2012

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The latest statistics from the Finance and Leasing Association (FLA) have revealed that the asset finance market continued to grow in May.

The report showed an 11% year-on-year increase in new business deals of up to £20 million, reaching a total of £1.8 billion. High value finance contracted by 88% over the 12 month period, leaving overall asset finance 1% higher than in May 2011.

The first five months of 2012 experienced a 7% growth in asset finance, compared to the first five months of 2011, to £8.8 billion.

The sales finance sector grew by 27% in May, compared to the same month in 2011, up to £532 million, while broker-sourced asset finance grew by 10% to £292 million and direct finance rose by 5%, to £966.

Plant and machinery and IT equipment finance remained strong in May 2012 with plant and machinery up by 26% and IT equipment increasing by 38%.