Total asset finance new business (primarily leasing and hire purchase) grew in August 2022 by 10% compared with the same month in 2021. In the first eight months of 2022, new business was 3% higher than in the same period in 2021, according to new figures by the Finance & Leasing Association (FLA).

The business equipment finance and plant and machinery finance sectors reported new business up in August 2022 by 8% and 12% respectively, compared with the same month in 2021. Over the same period, commercial vehicle finance new business increased by 6%.

Geraldine Kilkelly, director of research and chief economist at the FLA, said: “August saw the asset finance market report its strongest growth in new business since March of this year, driven by growth across several asset sectors. Demand for asset finance from SMEs remained buoyant as new lending to these businesses increased by 20% compared with August 2021.

“We welcome the Government’s recent announcement focusing on growth through increased business investment. With as much as 40% of UK investment in machinery and equipment funded by the asset finance industry, we urge the Government to ensure that measures to promote investment such as the capital allowances regime create a level playing field and do not exclude leasing.”

Private equity owners of UK-based asset finance provider Shawbrook have dropped plans to sell the challenger bank, the Financial Times reported citing four unnamed sources.

The decision by BC Partners and Pollen Street Capital comes after they could not attract bids worth £2bn for the lender.

International investors are cautious about investing in the UK market due to the uncertain political landscape and soaring inflation, the sources said, adding that volatile markets and a wider fall in dealmaking activity have also affected the sale.

It was not immediately clear when Shawbrook will be put up for sale again, a source said, while another said it could take up to 18 months before the sale is reinitiated.

British private equity firms were also considering an initial public offering for the bank, but that plan has also been called off.

The development comes as the UK economy combats the worst inflationary forces in four decades and it could fall into a recession.

“If you are looking at the UK from the outside, you are pausing now,” one of the sources said.

In 2017, Shawbrook Group was acquired by BC Partners and Pollen Street Capital in a public-to-private transaction.

UK-based finance and consulting services provider Finativ has appointed Jeff Longhurst as consulting director in a move to expand its sector expertise.

He brings more than four decades of experience in invoice finance, with more than 20 years of experience serving as CEO/managing director in large banks, foreign bank subsidiaries, specialist lenders and independents.

Longhurst is believed to have strong market connections, having served as chairman and CEO of the Asset Based Finance Association and managing director of commercial and asset-based finance at UK Finance.

He also has experience in setting up venture capital-backed finance businesses, which he later sold, and advised several invoice finance, and fintech businesses.

As per the official statement, the subject matter expertise offered by Longhurst allows Finativ to help clients expand from asset to invoice finance, or vice versa, provide guidance to new entrants to the receivables and ABL financing markets and offer insights to existing and emerging clients.

Last month, Finativ appointed Kevin Davies and Mark Stoddart as consulting directors to bolster its data strategy and process improvement practices.

CHG-MERIDIAN has acquired Mumbai, India-based asset lifecycle manager OPC Asset Solutions for an undisclosed amount. In a statement the group said the acquisition is part of CHG-MERIDIAN’s growth, internationalisation and sustainability strategy. Similar to CHG-MERIDIAN, OPC Asset Solutions specialises in asset lifecycle management, including long-term leasing of industrial, IT and healthcare equipment for B2B customers.

Hampshire Trust Bank (HTB) structured asset finance has completed a £3m asset refinance to help a container hire group of businesses. The case was introduced by Approved Business Finance to HTB because the client was enjoying a doubling of business volumes from pre-covid levels and was looking to take advantage of acquisition opportunities.

The agricultural division of Haydock Finance has launched a product for the UK dairy sector. Dairy Cattle Finance “includes refinancing and has been designed to support British farmers with their cattle purchasing and cash flow requirements,” the provider said during an Agri Finance webinar unveiling to its broker partners.