Clydesdale and Yorkshire Banks have formed a corporate asset finance team, which aims to help ease the funding gap in the wholesale vehicle fleet market.
Iain Corbett and Gordon Young both joined the banks as corporate asset finance directors earlier this year from the former Fortis Leaseoperation. They are now actively targeting the vehicle contract hire and rental markets.
Steve Dewison also joins the team as a corporate asset finance director covering the Birmingham and Manchester markets.
The move was welcomed by the BVRLA. Its chief executive John Lewis said: “We have been talking to Clydesdale and a number of other possible funders who are attracted to the risk profile and potential rewards offered by the vehicle finance sector.”
Young said: “The wholesale vehicle sector continues to suffer from a lack of funding capacity with many traditional lenders taking quite conservative lending positions.
“As well as being a new team and keen to build our footprint in the market, we have the added advantage that Clydesdale and Yorkshire Banks are in a progressive phase in this area, without legacy business weighing us down.”
The banks told Fleet News that they are primarily targeting larger operations and there is no requirement for companies to have an existing relationship with them.
The new operation is also backed by its pledge to advance £10 billion of new lending to customers by October this year.
Young said: “We have a brief to develop a high-quality lending book in this market over the next three years with relationship building at the heart of our approach.”