The
Finance and
Leasing Association have publicly warned that a shortage of
car finance could prevent any kind of recovery in the
car market .
Vehicle finance news makes it clear that the
car market will remain stalled unless
car finance companies are given government aid.
The FLA claim that
car finance providers, often part of larger
car companies, need the same aid as
banks if the demand for
new cars is to continue to rise.
The FLA head of
motor finance, Paul Harrison, reportedly commented: Not
all specialist motor
finance providers are banks. The FLA is asking the Government
to extend the support offered to the big banks, including a
credit guarantee scheme, to all types of
lenders .
The danger lies in that motor finance firms could run out of
funds.