Consumer Car Finance Statistics: UK 2025

Millions of consumers in the UK dream of owning a BMW, Mercedes, Audi, or Land Rover, and for good reason. Associated with luxury, status, power, and reliability, these brands are nothing less than iconic. However, for many, their dream cannot come true without the help of consumer car finance.

To find out what 1,567,509 people who purchased their BMW, Mercedes, Audi, or Land Rover using consumer finance in the UK’s opinions were, we utilised AI-driven audience profiling to synthesise insights from online discussions for a full year, ending 29th September 2025, to a high statistical confidence level. This is what we found out about their motivations, decisions, influences, and experiences.

What Was Most Important To You When Choosing A Car Finance Option?

52% of consumers who financed a BMW, Mercedes, Audi, or Land Rover are neutral about whether the interest rate matters when choosing a car finance option 

There are different priorities when choosing a vehicle financing option:

Although our audience has different priorities about what’s most important when choosing a financing option when buying a BMW, Mercedes, Audi, or Land Rover, their feelings about this are neutral. 

52% say they prioritise a low interest rate, which is in keeping with findings of a Global Information report. According to the report, the UK car loan market size in terms of outstanding loan value is expected to grow from US$56.62 billion in 2024 to $77.92 billion by 2029, with low interest rates being the main driver for this growth.

As for the rest, 37% say a quick approval process is most important to them, suggesting their purchases are based on the necessity of having their own transportation. The remaining 11% say flexible repayment terms are the most important factor, which highlights that they want to be prepared for financial uncertainty. 

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What Type Of Car Finance Arrangement Did You Find Most Appealing?

There’s a 50/50 split between those who prefer a lease agreement or a personal loan when financing a BMW, Mercedes, Audi, or Land Rover in the UK

Our audience mentions two types of finance arrangements, neither of which they find appealing:

Discussing different types of finance arrangements, our audience is split evenly between lease agreements (50%) and personal loans (50%). However, they indicate that they find both options unappealing. 

This may be because of interest rates, repayment terms, or the long-term commitment required by these finance arrangements. Their dislike may also stem from a preference for paying cash, even if this isn’t a viable option for them. 

Interestingly, Statista indicates that more than two million cars were purchased by consumers in the UK using financing in the twelve months leading up to May 2025, with most of these being used cars. 

In contrast, 409,400 new and used vehicles were purchased by businesses using a lease or loan in the same period. This indicates that a significant portion of people in the UK would struggle to purchase a vehicle without consumer car finance. 

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What Factor Most Influenced Your Decision To Proceed With A Car Finance Provider?

47% of consumers say that advice from the dealership possibly influenced their choice of finance provider

A surprising number of factors influence decisions to choose one finance provider over others:

The choice of finance provider among those who financed a BMW, Mercedes, Audi, or Land Rover was influenced by various factors. One of the factors our audience mentions is advice from the car dealership, which 47% say is a possible influence, while 18% say it’s a strong influence, and 3% it has no influence at all. From this, it’s clear that more than half of our audience is prepared to listen to dealership advice even if they don’t necessarily act on it.

Competitive offers are also mentioned, with 9% describing these as a possible influence and 21% saying they’re a strong influence. This implies that, for a percentage, their choice boils down to affordability and what best suits their circumstances. 

The remaining 2% say recommendations from family or friends are a strong influence in their choice of finance provider, showing that they appreciate the wisdom gained through the personal experience of those they trust.

These findings contradict those of a JTape survey, which ranked car purchasing methods in the UK by popularity. The survey found that 54% of people first do research online before going to a dealership to purchase a vehicle, while 20% go straight to a dealership and purchase directly. 15% purchase vehicles online from a marketplace such as Autotrader, Facebook, or eBay, 5% purchase from a dealership website, and 4% purchase their vehicles from an acquaintance or family member. 

This reveals that more than half of the consumers looking to purchase a vehicle in the UK prefer making informed decisions based on their own research.

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Which Other Consumer Finance Companies Would You Recommend?

32% of those who financed a BMW, Mercedes, Audi, or Land Rover have negative recommendations about specialist auto lenders 

There are strong feelings about recommending other consumer finance companies:

Consumers who bought their BMW, Mercedes, Audi, or Land Rover with consumer finance options mention three types of consumer finance companies: manufacturer finance schemes, specialist auto lenders, and independent finance brokers. However, their opinions about these options make it clear that they don’t consider them equally worthy of recommendation.

Those who mention manufacturer finance schemes say their recommendations are either positive (19%) or negative (17%), showing that almost as many people have had unpleasant experiences with this option as those who’ve had positive experiences. 

The 32% who mention specialist auto lenders say they would make a negative recommendation, which could be a result of having received unsatisfactory service, high interest rates, or unreasonable repayment terms.

Opinions on independent finance brokers were also split almost evenly. While 17% say they would make a negative recommendation, 14% say their recommendation would be positive, making it clear that some independent brokers in the UK offer a much better standard of service than others.

A Mintel UK Car Finance Market report found that personal contract purchase (PCP) plans are the most popular car finance option, especially among younger buyers looking for low interest rates and flexibility. This may indicate the reason some in our audience have a dislike of the different types of consumer finance companies they mention. 

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What Role Did Your Car Brand Play In Your Finance Decision?

19% of consumers who financed a BMW, Mercedes, Audi, or Land Rover said the car brand had a minimal but strong influence on their role in deciding on finance

Car brand means different things, especially when making a decision about finance:

Our audience’s discussions around the role their car brand played in their financial decisions are surprisingly nuanced. 6% say the brand has a minimal to moderate influence, while 19% say the influence was minimal but strong, suggesting they take brand into account while placing greater emphasis on other factors. 12% say brand offers had a moderate to strong influence, compared with 11% who say brand offers have a strong influence on their decisions.

For 16%, brand has a moderate influence, if any, although for 6%, brand has a strong influence, even if it doesn’t ultimately impact their financial decisions. 13% say brand has a moderately neutral influence, compared with 5% who say brand has a strongly neutral influence. The influence of brand promotions is moderate for 6% and strong for 3%. 

This proves that vehicle brand remains an important factor for various reasons, although it is not necessarily the deciding factor when it comes to how our audience finances their purchases. This is underscored by a Best-Selling Cars article, which revealed that Britain’s top-selling car brands in 2024 included Volkswagen, BMW, and Audi. 

While two of these three brands are considered to be higher-end or luxury vehicles, all three enjoy an excellent reputation for reliability and value for money, demonstrating that purchasing choices are based on far more than status.

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What Industry Are You Currently Working In?

49% of those who financed a BMW, Mercedes, Audi, or Land Rover are possibly working in the healthcare industry

Our audience is drawn from consumers working in different industries, from healthcare to professional services:

49% of our audience possibly work in healthcare, while 8% definitely work in this industry. Technology was the next most represented, with 10% possibly and 10% definitely working in this sector. The manufacturing industry was also well-represented, with 14% definitely working in this field, compared with 4% possibly working in it. 

It’s uncertain whether manufacturing is the industry 1% work in. Another 1% definitely do not work in manufacturing. 2% definitely work in professional services, while 1% possibly work in this industry.

That a wide range of industries is represented isn’t surprising. According to a Market and Research report on the UK Car Loan Market, the past few years saw an increased consumer demand for cars. This is possibly due to more people commuting for work, dissatisfaction with public transport, or the need for greater independence. 

This increased demand has led to an increase in the number of car loan providers, the range of products they offer, and increased competition among lenders. The results of this include lower interest rates and better loan terms.

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Where Did You First Find Information About Car Finance Options?

55% of consumers say they first found information about car finance options on a bank or building society website

Finance option information comes from a variety of sources:

More than half of our audience (55%) say they first found information about vehicle finance options on a bank or building society website, while 16% may have found information on these platforms. 2% say they did not find the information they were looking for on building society or bank websites. This suggests traditional financial services providers remain the first port of call for many consumers looking to buy a car in the UK. 

8% say they found information via manufacturer promotions, while 13% say they might have found information through promotions, and 4% say they didn’t find information from these sources. The remaining 2% say they might have found information on financing options through dealership materials. Clearly, while not as popular as bank or building society websites, manufacturer promotions and dealership materials remain helpful sources of car financing information.  

 The strong preference for looking for car financing information online, specifically on the websites of registered financial services providers, ties in with McKinsey’s findings on how online sales, among other factors, will shape consumers’ approaches to car financing in the future. 

According to McKinsey, less than 3% of consumers say they purchase vehicles fully online, although 29% say they want to purchase their next car fully online. Another 23% say that, while they want to purchase their next vehicle online, they would like some physical aspects to the buying journey, such as a test drive.

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What Would Most Likely Make You Change Your Car Finance Provider In the Future?

85% of those who financed their BMW, Mercedes, Audi, or Land Rover say more flexible contract terms would make them willing to change their finance provider in the future 

Not everyone agrees with the majority opinion about what would most likely make them change their car finance provider in the future:

The overwhelming majority of our audience (85%) say they would be willing to switch their car finance provider in the future if they received more flexible contract terms from another provider. However, 10% say this isn’t something that would make them change providers. This indicates that most are dissatisfied with the terms of their current car finance contracts and would appreciate greater flexibility.

For some, the quality of customer support has more influence. 3% say they would be willing to change finance providers if they receive faster customer support from a competitor, although 2% say this wouldn’t motivate them to change providers. It’s evident that some of our audience have had bad experiences with the quality of customer support offered by their current providers.

If anyone in our audience ever does decide to switch providers, they will have a range of options to choose from. In the UK, different types of providers specialise in different types of vehicle financing, including personal loans, hire purchase, 0% finance, leasing, personal contract purchase (PCP), and 0% purchase credit cards.

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How Did You Compare Car Finance Offers Before You Chose?

100% of consumers say they visited multiple dealerships to compare car finance offers before they chose one

Our entire audience took the same approach to comparing car finance offers before making a decision:

Our audience of people who purchased their BMW, Mercedes, Audi, or Land Rover with consumer finance clearly understands the importance of comparing offers before deciding. 100% say they do this by visiting multiple dealerships, enabling them to find what they need to make an informed decision. 

This is surprising, as we saw above how many look for information online rather than by visiting dealerships. This suggests our audience still values the services of and face-to-face interactions with car dealers. 

A recent Consumer Voice survey found that trust remains incredibly important to car finance customers. 65% of customers who took out loans before the discretionary commission ban say they trusted their dealer to offer them the best deal, compared to 16% who say they did not trust their dealer to do this. 

51% say one of the most important things that would help them arrange finance through a dealership was to be certain that their dealer has no conflicts of interest, while 50% say it would be for their dealer to offer them a choice of deals to consider. 

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Which Part Of The Customer Service Mattered Most After A Car Purchase?

Ease of resolving problems is the part of custom service that matters most to 100% of those who financed their BMW, Mercedes, Audi, or Land Rover 

The aspect of customer service that matters most after purchasing a vehicle with consumer finance is unanimously agreed upon:

Good customer service doesn’t end when a customer makes a purchase. However, what counts as the most important aspect of customer service after purchasing a vehicle depends on who you ask. For 100% of our audience, the part of customer service that matters most after purchasing a vehicle with consumer finance is a customer-centric approach that focuses on solving problems easily.

A Defi Solutions overview of auto loan customer journey optimisation highlights how a positive customer service experience would make consumers more likely to make a purchase. However, the financial services sector, which includes car loans, ranked poorly in six areas, among which were customer-centricity and service/support quality. 

Evidently, our audience’s appreciation of customer-centricity wasn’t necessarily based on positive experiences. It’s likely that some consumers had negative experiences, which highlighted the importance of putting customers first.

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Which Feature Would Improve Your Car Finance Experience The Most?

68% of consumers say that flexible repayment options would most positively improve their car finance experience 

Opinions differ about which feature would offer the greatest improvement to the car financing experience:

What we’ve seen of opinions about different aspects of consumer car finance in the UK makes it clear that there’s room for improvement. 

For 67%, flexible repayment options would offer the greatest improvement to their experience, again highlighting the fact that flexibility is important to our audience. However, 33% disagree, saying their experience would gain the most improvement from better digital tools, which may help explain why a significant percentage still values visiting dealerships and turning to friends or family for advice.

It’s worth noting that some financing options offer more flexibility than others. For example, the range of car finance options available in the UK allows you to choose the type that suits your circumstances best. 

With options such as PCP and hire purchase, you can hand the car back partway through the deal, provided you made the minimum number of payments required by the plan. On the other hand, personal loans offer less flexibility, as you can’t hand the car back partway through or at the end of the loan period.

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Which City Are You Based In?

56% of those who financed their BMW are positive about being based in London

Our audience is based in different cities around the UK:

56% of our audience are BMW drivers who are positively based in London, while 23% of the BMW drivers are not based in the capital. 13% positively are based in Manchester, while 7% are not. Another 1% drives BMWs and is based in Glasgow.

It’s not surprising that a large percentage own BMWs. According to the BMW Group, the brand saw a slight increase in sales in the UK in August. The 5,200 cars registered that month mark a significant increase from the 4,566 units sold in August 2024.

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Flexibility Driving Consumer Switching

These findings provide various insights into customers’ approaches to and experiences of consumer car finance in the UK. We’ve seen how our audience turns to traditional finance providers, car dealerships, and family and friends for advice and recommendations, and how they value flexibility and customer-centric customer service. 

We’ve also seen how greater flexibility would inspire our audience to switch to a different service provider, and how vehicle brands can influence decisions around financing. 

Additionally, our findings make it clear that, when purchasing a vehicle, our audience doesn’t take everything at face value and is prepared to do their homework to ensure they’re making the best decision. 

While the way consumers in the UK purchase cars is changing, some aspects will remain as they are, namely the importance of trust, flexibility, and choice.

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Methodology

Sourced using Artios from an independent sample of 1,567,509 United Kingdom people who have bought their BMWs, Mercedes, Audis, or Land Rovers with consumer finance opinions across X, Reddit, TikTok, LinkedIn, Threads, and BlueSky. Responses are collected within a 95% confidence interval and 5% margin of error. Results are derived from opinions expressed online, not actual questions answered by people in the sample.

About the representative sample:

• 23% of people in the UK who have purchased cars using consumer finance are between the ages of 55 and 64.
• 65% identify as male and 35% as female.