AF new business volume soars in April

New figures released today (Wednesday 17 June) by the Finance & Leasing Association show that total asset finance new business (primarily leasing and hire purchase) grew by 14pct in April 2026 compared with the same month in 2025.  In the first four months of 2026, new business was 6pct higher than in the same period in 2025.

The plant and machinery finance sector reported new business up in April by 36pct compared with the same month in 2025. The commercial vehicle finance and business new car finance sectors reported new business growth of 5pct and 18pct respectively, over the same period.

New asset finance lending to SMEs grew in April by 8pct compared with the same month in 2025, while new lending to larger businesses increased by 26pct over the same period.

Geraldine Kilkelly, Director of Research and Chief Economist at the Finance & Leasing Association ("FLA"), said, “The asset finance market made a strong start to the second quarter, underlining the sector’s resilience as businesses continue to invest despite a more uncertain economic backdrop.

“In the near term, however, cost pressures and geopolitical uncertainty are still weighing on confidence, with higher energy prices and interest rates testing affordability. The recent agreement between the US and Iran to ease tensions offers some hope that these pressures may begin to moderate, improving the economic outlook over the medium term.

“While risks remain, there are also clear opportunities. Demand for finance continues to shift towards essential and productivity-enhancing investment, while market developments, technological change and the transition to net zero are creating new areas for growth.”

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