New car leasing deals have fallen by 13pc
Motorists have shied away from leasing contracts for new cars amid concerns about high inflation and soaring interest rates.
A report by the Finance and Leasing Association, a trade body, found the number of cars purchased on finance dropped by 5pc in September compared with the previous year.
Second hand car purchases were 1pc higher, she said, but the number of new cars bought on finance dropped to 82,831 – 13pc lower than a year ago. It was the lowest September activity figure for new cars since 2010, the report said.
Geraldine Kilkelly, of the FLA, said the fall in drivers buying new cars on finance was because of disruption to the supply of new cars and drivers’ “weakened confidence” over the outlook of their finances because of inflation and interest costs.