New figures from the Finance & Leasing Association (FLA) show growth of 14% in consumer finance provided by FLA members in September.
This was the first double-digit growth recorded in almost a year.
The second charge mortgage market saw new business grow 32% by value (to £37 million) and 22% by volume (to 1,193) compared with September 2012. The average second charge mortgage advance in September was 8% higher, at £31,014, than the same month in 2012.
In the point of sale finance market, new business was up 27% compared with the same month last year. Store instalment credit also grew 8% in September, to £226 million.
Fiona Hoyle, head of consumer finance at the FLA, said: “These figures show that the availability of responsibly provided credit is vital for the continued economic recovery.
“The capacity crowd at our Future of Consumer Credit Regulation Conference yesterday discussed the challenges of maintaining this supply in light of the new rules governing consumer credit which come into force in April 2014.
“All agreed that it would be very important to avoid any unintended adverse impact on the large number of credit intermediaries who play a major role in the supply of credit to consumers.”
