New figures released by the Finance & Leasing Association (FLA) found that consumer finance new business grew by 11% in May 2018, compared to the same month last year.

The findings illustrated that total FLA consumer finance in May 2018 was worth £9.1m in May, with credit card and personal loan finance growing by 11% and accounting for just over £4.7m of the £9.1m. Retail store and online credit represented £769,000 worth of consumer finance and saw a growth of 8% over the same period.

During the 12 months leading May 2018, both credit cards and personal loans and retail store and online credit finance experienced significant growth of 9% and 10% respectively. There was over £50m worth of credit card and personal loan borrowing over the period, and £9.2m worth of retail store and online credit borrowing.

Commenting on the findings, FLA head of research and chief economist Geraldine Kilkelly said: “Growth in consumer finance new business in May was in line with wider trends in the economy. Retail sales were boosted by events such as the Royal Wedding and hot weather, while the continued strength of the labour market and low interest rate environment meant consumer confidence remained relatively stable in the first half of 2018.”

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