top of page

V12 Retail Finance Q3 Data Shows Home Improvement Finance More Than Doubling



New quarterly data from V12 Retail Finance shows that UK consumers continued to turn to point-of-sale finance for high-value purchases in the third quarter of 2026. Total finance values across the platform grew 7% between July and September compared with Q3 2025, and were almost 20% higher than in the same period of 2024.


The quarter got off to a challenging start as prolonged hot weather and a busy international sporting calendar disrupted normal shopping patterns in July. However, each month of the quarter was ahead of the same month in 2025, and demand strengthened as the summer went on. As in the first half of the year, growth came mainly from categories linked to the home, health and practical everyday purchases. This suggests that households remain willing to commit to significant spending, but continue to be selective about where they do so.


Andrew Phillips, Managing Director of V12 Retail Finance said:

"The third quarter shows a consumer who is still willing to spend on what matters most, even when the backdrop is far from straightforward. July was a difficult month for many retailers, but demand held up and strengthened through August and September."

"The standout trend is the continued investment households are making in their homes. Home improvement finance more than doubled year on year in the quarter, and that reflects a broader shift we have been tracking for some time, as people choose to improve the homes they already have rather than move."


"Consumers remain cautious about the wider economic picture, and we expect them to stay selective. But the strength and breadth of demand across our portfolio gives us confidence as retailers head into Black Friday and the Christmas trading period."


Home improvements emerge as the defining trend of 2026

Home Improvements was a standout performer in V12’s portfolio in Q3. Finance values rose by around 112% year on year, and the pace of growth increased each month. Values were up approximately 56% in July, 107% in August and 163% in September.


The category has now grown almost fourfold in quarterly value since Q3 2024, and now accounts for around 7% of total finance values, compared with less than 4% in the same period last year. Across the first nine months of 2026, home improvement finance values are up by around 73% year on year. This builds on the multi-year pattern of increased investment in property-related projects that V12's earlier data releases highlighted.


Furniture remains the anchor of demand

Furniture remained the largest category by a significant margin, accounting for close to 49% of all finance values in Q3 2026. Finance values held broadly stable, rising around 1.5% year on year on what had been a strong Q3 2025.


Performance varied through the quarter, with July softer as warm weather reduced footfall, particularly at retail park locations. August was a stronger month for the category, with finance values rising nearly 9% year on year as cooler temperatures and Bank Holiday promotional activity brought customers back to stores. On August Bank Holiday Monday alone, applications approved across V12's portfolio rose by almost 40% compared with the same day in 2025, with furniture retailers making a significant contribution.


Healthcare and practical categories continue to grow

Healthcare and dental finance values rose by around 6% year on year, and are up by more than a third compared with Q3 2024. The category accounted for around 12% of V12's total finance values in the quarter. This reflects continued consumer willingness to invest in dental and elective treatment, supported by the expansion of V12's healthcare provider network.


Growth was also strong across several practical and lifestyle categories. Consumer electrical finance values more than doubled year on year, rising by around 126%. Cycles grew by around 24%, with double-digit growth in every month of the quarter. Motor finance rose by close to 6%.


Signs of stabilisation in discretionary categories

In Q1, discretionary luxury categories were under pressure. In Q3, there were early signs that this pressure is beginning to ease. Jewellery, the second largest sector by value, returned to growth, with finance values rising nearly 3% year on year. This marks a positive step after a softening trend that had been evident since mid-2024.


Other discretionary categories remained more subdued. Art saw a decline of close to 8%, while music was broadly flat. This suggests that while sentiment around non-essential purchases may be improving, households are still exercising restraint in some areas.


Retailer network continues to expand

V12's retailer network continued to grow during the quarter. The most significant milestone was the launch of V12's partnership with Magnet, which went live across all 150 Magnet stores in July and made a strong early contribution to the growth in home improvement finance. The sector also benefited from continued growth among retailers introduced through broker partners.


"What has been particularly encouraging this quarter is how broad the growth has been," added Andrew Phillips.

"We have seen strength in our largest categories, in healthcare and in practical purchases, and early signs of recovery in jewellery. Combined with the momentum in home improvements and new partnerships such as Magnet, that gives us a solid platform as we move into the busiest trading period of the year."

Most Read

Hill Cross Furniture Raises £1,500 For Overgate Hospice

Hill Cross Furniture Raises £1,500 For Overgate Hospice

North Yorkshire furniture specialist Hill Cross Furniture has presented £1,500 to Overgate Hospice after taking on a 1,042-mile cycling challenge inspired by the team’s work on the hospice’s new Inpatient Unit.

High Street Gloom as Leicester City Centre Welcomes New Openings

High Street Gloom as Leicester City Centre Welcomes New Openings

Leicester continues to buck the national narrative of high street closures as a new wave of restaurants, cafés, fashion stores and independent businesses open their doors across the city centre.

V12 Retail Finance Q3 Data Shows Home Improvement Finance More Than Doubling

V12 Retail Finance Q3 Data Shows Home Improvement Finance More Than Doubling

New quarterly data from V12 Retail Finance shows that UK consumers continued to turn to point-of-sale finance for high-value purchases in the third quarter of 2026.

Categories

Jan 10, 2025
2 min read

European software provider Forterro has continued its expansion into the window, door and façade industry, with the acquisition of BM Group.


Founded in 1979 and operating from offices in Scotland and England, BM Group is the leading IT solutions provider in the UK and Ireland fenestration software sector. Its products include Evolution, the widely used uPVC order processing and fabrication solution, and Touch, its web-based management platform, which covers all sectors within the windows and doors market: uPVC, aluminium and timber.


The BM Group acquisition is Forterro’s second in the fenestration sector. In November 2024 it announced the acquisition of Orgadata AG, a German company known for its innovative Logikal software for designing, calculating and producing windows, doors and curtain walls. The Orgadata deal is expected to close in the first quarter of 2025, pending regulatory approvals. Both companies will operate in the newly formed Forterro Windows and Doors business line.


 Marcus Pannier, Regional President, Forterro, said:


“Adding BM Group to Forterro Windows and Doors means we have an immediate and powerful presence in this market, and it is a perfect fit with our other acquisition in the sector."
“BM Group is hugely innovative, and bringing it into Forterro means it can benefit from our experience in scaling and growing companies, taking that innovation to a bigger and broader market than would have otherwise been challenging.”

In addition to its own products, BM Group is the sole reseller of Orgadata’s Logikal product in the UK. Logikal digitalises and simplifies processes around aluminium window, door and curtain wall designs so that companies can work more efficiently, and BM Group has implemented Logikal for nearly 20 years.


BM Group’s Managing Director Graeme Bailey will remain with the company, focusing on integrating the BM Group teams into Forterro Windows and Doors, and Chief Technical Officer Jim Cronie will continue to drive product innovation. Bernd Hillbrands, the founder of Orgadata, will head up Forterro Windows and Doors following completion of the Orgadata transaction.


“Forterro is the ideal partner for us, with shared values and culture and a focus on innovation and collaboration,” said Graeme Bailey, Managing Director, BM Group. “Being part of Forterro Windows and Doors means we are better placed to help our customers meet market challenges and realise their growth ambitions, with access to broader expertise, technology and support. Our understanding of Orgadata’s Logikal and implementation with customers was also pivotal to our successful alignment within Forterro.”


“Forterro is an industrial software specialist – it’s a sector we know incredibly well, and the BM Group acquisition is timely, giving us further access to the growing window, door, and façade industry,” continued Marcus Pannier, Forterro. "Our mid-market expertise is second to none, and bringing BM Group to Forterro means that we start 2025 as we mean to continue supporting customers and achieving growth."

Most Read

Hill Cross Furniture Raises £1,500 For Overgate Hospice

Hill Cross Furniture Raises £1,500 For Overgate Hospice

North Yorkshire furniture specialist Hill Cross Furniture has presented £1,500 to Overgate Hospice after taking on a 1,042-mile cycling challenge inspired by the team’s work on the hospice’s new Inpatient Unit.

High Street Gloom as Leicester City Centre Welcomes New Openings

High Street Gloom as Leicester City Centre Welcomes New Openings

Leicester continues to buck the national narrative of high street closures as a new wave of restaurants, cafés, fashion stores and independent businesses open their doors across the city centre.

V12 Retail Finance Q3 Data Shows Home Improvement Finance More Than Doubling

V12 Retail Finance Q3 Data Shows Home Improvement Finance More Than Doubling

New quarterly data from V12 Retail Finance shows that UK consumers continued to turn to point-of-sale finance for high-value purchases in the third quarter of 2026.

Categories

An Artefact That Waves To The Past Is Discovered

An Artefact That Waves To The Past Is Discovered

An astonishing relic from the legendary Zeebrugge and Ostend raids in World War I has emerged – shining a light on a forgotten act of heroism.

F1 Battery Component Maker Battles Global Giants For Pole Position

F1 Battery Component Maker Battles Global Giants For Pole Position

A family-owned business is taking on some of the world's biggest battery markets after transforming itself from a specialist distributor into an advanced manufacturer in just five years.

Business Rates Shake-Up Risks Creating Uncertainty For UK SMEs

Business Rates Shake-Up Risks Creating Uncertainty For UK SMEs

Small and medium-sized businesses face fresh uncertainty over how future business rates changes could affect their plans for growth, investment and recruitment.

Recent Posts

bottom of page