Consumer finance new business grew by 3% in August 2026
New figures released today by the Finance & Leasing Association (FLA) show that consumer finance new business grew by 3% in August compared with the same month in 2025 to reach £9.7 billion. In the eight months to August 2026, new business in this market was 4% higher than in the same period in 2025.
The credit card and personal loans sectors together reported new business 2% higher in August than in the same month in 2025, while the retail store and online credit sector reported new business growth of 5% over the same period.
Commenting on the figures, Geraldine Kilkelly, director of research and chief economist at the FLA, said: “Consumer finance new business returned to growth in August after a weaker July, demonstrating the continued resilience of household activity despite an increasingly uncertain economic environment.
“The sharp fall in consumer confidence in October is, however, a concern. Confidence plays a crucial role in households’ willingness to make major financial commitments, and the latest decline points to growing caution about the economic outlook.
“The chancellor should use this week’s Budget to provide greater certainty about the future path of taxation and measures that support household finances. Stable and predictable policy would help rebuild confidence and improve the outlook. FLA consumer finance providers stand ready to support households with responsible and affordable finance, helping them invest in the goods and services they need as confidence recovers.”
Table 1: New consumer credit lending
| Aug 2026 | % change on prev. year | 3 months to Aug 2026 | % change on prev. year | 12 months to Aug 2026 | % change on prev. year | |
| Total FLA consumer finance (£m) | 9,673 | 3 | 30,946 | 3 | 126,020 | 5 |
| Data extracts: | ||||||
| Retail store and online credit (£m) | 671 | 5 | 2,074 | 1 | 9,177 | -1 |
| Credit cards & personal loans (£m) | 5,359 | 2 | 16,347 | 1 | 65,056 | 3 |
| Second charge mortgages (£m) | 183 | 4 | 595 | 7 | 2,394 | 24 |
| Car finance (£m) | 2,822 | 3 | 10,064 | 5 | 42,864 | 7 |