Economic forecasts may have been gloomy in the first quarter of this year but the Asset finance market appears to be bucking the trend with promising results for asset finance new business in Q1 2017.

According to the latest data released by the Finance & Leasing Association (FLA) new business in the sector increased by 9% overall in the first quarter of the year compared to the same period last year.

The results show that more and more businesses are continuing to opt for asset finance over other sources of finance to invest in new equipment and machinery.

Results from the agricultural and construction sectors were even more encouraging with the former seeing growth of 43% and the latter seeing 23% compared to the same period a year ago.

While new business growth for asset finance in business equipment was less impressive at 2% it still indicates that growth is strong overall and asset finance growth is not just confined to the agriculture and construction industries.

Economists say this quarter’s strong results matched improved expectations for business investment in the Bank of England’s May inflation report.

If you would like to find out how asset finance can help your business contact us today.