Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what assessment he has made of the implications for the wider economy of the trend in the take-up of personal contract purchase plans for cars.

The independent Financial Policy Committee, was set up by the government to assess and mitigate financial stability risks. The FPC recently published in June the Financial Stability Report (FSR) which assessed recent trends in the consumer credit market including car finance. The FSR noted that consumer credit has been growing rapidly but that loss rates on consumer credit lending are low at present.