Car Finance Made More Difficult Through Lack Of Cash

Wednesday, 22. September 2010

: Image via Wikipedia

One of the last meetings I attended at which we discussed the state of the motor finance industry, we were told by one of the leading accountancy practices in the UK along with a couple of large leasing operations that the biggest problem faced by the industry was lack of liquidity or in other words lack of money to lend to you and me. This has been confirmed by the Society of Motor Manufacturers and Traders who have asked the Government to step in through a letter sent to the chancellor, George Osborne. They have asked for more money to be made available to lenders in order to lend out money to people who are desperate to get mobile again. They were also wittering on about green vehicles but the important request is for the Government, or private equity companies, to step in and provided the desperately needed cash. It’s a fact that with no money to lend leasing companies are refusing credit to a large number of businesses that will be forced into liquidation because they can’t get essential new vehicles. By Graham Hill