British drivers upgraded their cars often in the era of cheap lending – but that could change

Company insolvencies jump 27% as high interest rates hit

Britain’s car buyers are a nation of borrowers: more than four in every five new cars bought by individuals in 2022 was paid for with borrowed money.

For more than a decade that borrowing, on attractive terms thanks to ultra-low interest rates, opened up the car market to people without much in the way of savings – allowing the Mondeo Man to upgrade to a Mercedes-Benz C-Class.