insight news

JLR finds new European financial services partner in banking giant BNP Paribas

Autovista24 | 18 Feb 2022

About the author

Autovista24

Autovista24 provides specialist information for Europe’s automotive decision makers. The platform hosts news analysis, original research, interviews, webinars, videos and podcasts. Autovista24 journalists combine proprietary data with timely research and analysis – all while tapping into Autovista Group’s pan-European team of automotive experts to ensure that users benefit from highly-relevant content.

Jaguar Land Rover (JLR) and BNP Paribas have teamed up to provide financial services to the carmaker’s retailers and customers in nine key European markets. The companies want to jointly broaden automotive financing services by early 2023. From next year, retail partners and JLR customers will be offered a range of financing services, covering stock financing, classic loans, lease-to-purchase, long-term lease, and insurance products.

JLR said it had chosen strategic markets in Europe to provide these services covering ‘all aspects of mobility.’ The manufacturer is initially putting its focus on some of the region’s largest automotive markets – this includes Germany, France, Spain, Italy, Belgium, Luxemburg, Netherlands, Austria, and Portugal.

Competitive financing

For years, the premium carmaker has worked with FCA Bank – a joint venture between FCA and Crédit Agricole. JLR and FCA Bank renewed their contract in 2018, which covers the funding of JLR vehicles for the franchise dealer networks in eight markets, as well as a range of point-of-sale financing, leasing and insurance services for customers.

But JLR is now switching its financial services provider, with BNP Paribas stepping into FCA Bank’s shoes. BNP Paribas is known for working with carmakers in Europe. In December last year, it was reported that the French bank was in exclusive talks with Stellantis, as well as Crédit Agricole and Santander, over the reorganisation of Stellantis’ leasing and financing operations in Europe. Stellantis now plans to sell its 50% stake in FCA Bank to Crédit Agricole Consumer Finance, which owns the other half of the business.

‘We are proud to be joining forces with BNP Paribas to create the conditions for further growth and to write another chapter in the company’s history,’ said Francois Dossa, executive director, strategy and sustainability at JLR. ‘This partnership enables us to offer competitive mobility financing solutions across key European markets to create unique and customer-centric experiences as we continue to accelerate our “Reimagine” corporate strategy.’

JLR added the collaboration will build on BNP Paribas Personal Finance for financing, Arval for leasing and fleet management, and BNP Paribas Cardif for insurance. The goal is to offer integrated services covering major mobility financing needs.

Overhauling strategies

‘We are delighted to begin a strategic partnership with an iconic player in the automotive sector, placing sustainability at the heart of the business thanks to an ambitious strategy for the electrification of its vehicles,’ said Thierry Laborde, chief operating officer of BNP Paribas.

‘Our complementary areas of expertise are a key asset for making this partnership a success. BNP Paribas is fully committed to bringing all our capabilities as an integrated group, to bear in support of JLR’s distributors and customers across these nine strategic markets,’ he added.

Meanwhile, JLR is focused on overhauling its own corporate strategy. The company recently scored a £625 million (€749 million) loan to support the research, development, and export of battery-electric vehicles (BEVs). The luxury brand wants to go all-electric from 2025, planning to launch several BEVs in the coming years. The Tata-owned company is actively seeking more collaborations that it says would allow it to explore synergies, especially in the field of clean energy, connected services, data and software development.

You might also be interested in

CES 2024: The automotive AI journey has just begun

26 Jan 2024

A new path of technological automotive development is emerging, evidenced by a strong focus on artificial intelligence (AI) at CES 2024. Autovista24 special content editor,...

The 2023 Autovista Group Residual Value Award winners

20 Jul 2023

The inaugural Autovista Group Residual Value Awards crowned value-retention champions across eight different categories. These were based on segment, body type and powertrain groupings. Autovista...

Plug-in vehicles make up 14% of global new-car sales in April

27 Jun 2023

Global plug-in vehicle registrations were up 70% year on year in April, reaching 928,000 units. Jose Pontes, data director at EV-volumes.com, asks if this could...

Yes, please sign me up to receive Australian news and insights

* Mandatory


Yes, please sign me to up to receive the following emails:
National automotive insight, surveys and events - Sent now and again by Glass’s Information Services Ltd in English

We use pixels in our emails to monitor whenever you open, forward or click on the URLs in our emails. This helps us to monitor and measure the performance and effectiveness of our emails. We combine this with the information you provide above and your browsing information so that we can better tailor and improve our marketing to you and personalise your user experience on our website. By signing up, you are consenting to the use of your data for the purpose of sending you the selected emails and to the use of tracking pixels. You can withdraw your consent to receive our emails and the related tracking at any time by following this link to our Email Preference Centre and updating your preferences. For additional information on the processing of your personal data, please refer to the Autovista Group Privacy Policy and the Glass’s Privacy Policy.