New figures released by the Finance & Leasing Association (FLA) show that total asset finance new business (primarily leasing and hire purchase) grew in November 2022 by 12% compared with the same month in 2021. In the 11 months to November 2022, new business was 5% higher than in the same period in 2021.

The commercial vehicle finance and business car finance sectors reported new business up in November by 10% and 35% respectively, compared with the same month in 2021. Business equipment finance new business grew by 13% over the same period.

Commenting on the figures, Geraldine Kilkelly, Director of Research and Chief Economist at the FLA, said: “November saw the asset finance market report its seventh consecutive month of growth as the market continues to recover to more normal pre-covid levels of new business. New lending to SMEs increased by 11% in November and the industry is on track to report a record level of asset finance new business to SMEs in 2022 as a whole.

“Our latest figures show that the asset finance market is playing a vital role in supporting businesses of all sizes to invest in new equipment that improves efficiency as they face a difficult year of uncertainty about demand and a squeeze on business margins from higher costs and interest rates.”