According to recent
car industry research, the restricted financing of
car purchases has massively affected the sale of new and
used cars . The value of the UK retail
car finance market has slump by nearly 60 per cent in the last
five years, with direct
lending and
dealer finance both collapsing.
A Trend Tracker Report entitled: The UK Retail
Car Finance Market 2009 indicates just how hard hit
vehicle finance really is. With weak balance sheets, many banks
may even desert
the car finance market entirely.
The report indicated a slump in value for the UK retail car finance
market. Dealer
Point of Sale finance fell by 26 per cent, whilst
direct car finance slumped by a massive 60 per cent.
Registrations of
new cars also slumped. The report indicated a shrink in the
number of physical car finance outlets.
