Cambridge & Counties Bank expects to break the £100 million mark in financing for Classic, Vintage and Sports (CVS) cars in 2023 as demand for specialist car lending continues to increase in the UK.
The bank has seen £96 million drawn by car owners and enthusiasts since launching into the specialist market in 2018 and is on track to pass £100 million this year, its CVS division’s fifth anniversary.
Led by Tom Senior, the bank offers bespoke and competitive lending solutions for High-Net-Worth individuals and businesses looking to raise finance against rare, valuable, and collectable marques. Over the past five years, it has advanced loans against more than 300 vehicles, with financing sometimes delivered against a portfolio of vehicles.
As of September 2023, the bank currently has financing agreements on around 200 cars, broken down by marque as follows:
The very first deal completed by the bank in April 2018 was against the iconic, silver birch Aston Martin DB5 made famous by James Bond and Goldfinger.
The following year, the bank supported the acquisition of its first modern car for a client - a rare Porsche 959. Other highlights over the past five years include finance against a Ferrari 288 GTO and a Bugatti Veyron while the highest value car funded to date was worth over £3 million.
Tom Senior added:
“Looking ahead, with values continuing to rise for many marques, we expect activity to remain buoyant particularly as modern classics such as Ford Cosworths hit record values and other brands from the 1980s and 1990s become highly sought after. The ULEZ exemption has seen demand for pre-1983 cars increase, and we know a number of collectors buying classics purely to drive in London.
“The CVS sector is not totally immune from wider risks, and we remain focused on sustainable lending and supporting our specialist clients. We have strong growth aspirations over the next five years, with an aim to be seen as the ‘go to’ team for specialist car finance.”
Tom Senior, Director Specialist Car Finance, Cambridge & Counties Bank, said:
“The CVS market remains highly active and resilient, and we continue to see strong demand for dedicated finance from individuals, businesses and the specialist brokers that serve them.
“Given the wealth profile of many owners, the market has largely been insulated from wider macroeconomic challenges, with finance being used for a range of reasons including as a means to expand collections.”