Research and Markets: UK Personal Lending 2009: UK Consumer Credit Market in 2008 and Future Outlook

DUBLIN–(BUSINESS WIRE)–Research and Markets (http://www.researchandmarkets.com/research/871fcd/uk_personal_lendin) has announced the addition of the "UK Personal Lending 2009: UK Consumer Credit Market in 2008 and Future Outlook" report to their offering.

The UK consumer credit market has continued to contract in 2008, as various issues such as the liquidity squeeze, high personal debt levels and weaker consumer spending power continued to take their toll on the industry. With few signs of the current situation alleviating for some time, the future of the UK consumer credit market continues to look bleak.

Scope:

Covers unsecured personal loans, credit cards, overdrafts, motor finance and retail finance in the UK.
Provides forecasts for gross advances under 3 different scenarios for the consumer credit market as a whole as well as for individual product lines.
Examines the factors that have impacted on the consumer credit market over the course of 2008.

Highlights of this title:

Liquidity issues continued to affect lending markets in the UK in 2008. Although the impact of the credit crunch on personal lending markets is less than that on the mortgage market, it has nonetheless contributed to the subdued performance of the consumer credit sector.
Datamonitor expects conditions to deteriorate further during 2009 before a slight improvement in some key economic indicators during 2010, while others will continue to languish. Similarly, there will be growth in some consumer credit product lines in 2010, but others will continue to stagnate.
The government is actively trying to rescue the consumer credit market but is limited by enforceability. In any case, there needs to be some redress of the pact actions of lenders and consumers in order to build a model of sustainable consumer lending and long-term economic growth.

Key reasons to purchase this title:

Gain access to the latest market sizing and forecasting data for the UK consumer credit market to compare your performance with the markets.
Understand how the market is changing and evaluate any opportunities for your business arising from these changes.
Plan your future strategy with confidence using The scenario based forecasts.

Key Topics Covered:

The consumer credit market has deteriorated over 2008
The credit crunch and recession continue to impede the functioning of the consumer credit market
Base rate cuts during 2008 have failed to help Britain climb out of recession
Lenders have become more conservative in order to cope with the economic downturn
Despite attempts to cut their spending, many consumers need to keep borrowing
Most credit products saw modest falls in gross lending during 2008
Consumers continue to fund short-term borrowing needs with their credit cards
Unsecured personal loans: declined dramatically over 2008
Gross advances on overdrafts have stayed relatively stable over 2008
The last quarter of 2008 saw a sharp decline in point of sale retail finance
Point of sale motor finance fell dramatically in the second half of 2008
Personal loans strengthened their market share over the past five years
Economic conditions will continue to deteriorate in 2009 before improving in 2010
Difficult times will continue for the UK economy, with negative GDP growth and a falling housing market
Falling inflation allowed the Bank of England to cut its base rate but there has been little economic impact
Retail sales lifted somewhat in Q4 2008 but car sales figures are bleak
House prices continue to fall with no end in site to the price correction
2009 will not herald respite from economic and financial difficulties, even under Datamonitors neutral scenario
Datamonitor also analyzes two different scenarios – one more pessimistic, the other more optimistic
A lending panel was created late in 2008 to monitor loans to households and businesses
But the Lending Panel also faces an almost impossible challenge
Ultimately sustainable consumer lending requires a responsible industry and more cautious consumers
Under the Consumer Credit Act, fixed-sum credit agreements will require annual statements