Close Brothers is the UK's leading specialist commercial vehicle lender. Hire purchase on new HGVs starts from 5.9% APR; finance lease from 5.4% APR. This page sets out their current rate structure, what they will and won't fund, and how they compare with the wider market.
Current Close Brothers HGV Finance Rates
Close Brothers Motor Finance and its commercial vehicle division operate as specialist lenders outside the mainstream banking market. That means they can price risk individually and accept cases that high-street lenders decline - but their headline rates are competitive even for prime borrowers. The figures below are representative for October 2026.
| Product / Asset Type | Finance Type | Rate From (APR) | Deposit Required | Max Term |
|---|---|---|---|---|
| New HGV (rigid or artic) | Hire Purchase | 5.9% | 20%+ | 7 years |
| New HGV | Finance Lease | 5.4% | 10–25% | 7 years |
| Used HGV (up to 5 years old) | Hire Purchase | 6.5% | 15–20% | 5 years |
| Used HGV (5–10 years old) | Hire Purchase | 7.9% | 20–25% | 5 years |
| LCV / Van (new or used) | Hire Purchase | 5.5% | 10–20% | 5 years |
| Fleet facility (5+ vehicles) | HP or Finance Lease | Bespoke | Negotiated | 7 years |
Fleet facilities for operators placing five or more vehicles typically achieve a 0.25–0.5 percentage point improvement on the individual vehicle rates shown above. Balloon payment structures are available on finance lease, which can significantly reduce monthly outgoings where the operator is comfortable managing the residual value at the end of the term.
Hire Purchase vs Finance Lease
The two main products Close Brothers offer for commercial vehicles differ in how ownership and VAT work at the end of the agreement.
Hire Purchase (HP) is the most common route for owner-operators. You pay a deposit, then fixed monthly payments over the agreed term, and the vehicle transfers to you automatically at the end. You can claim capital allowances on the vehicle. The lender holds the title during the agreement, so the asset does not appear on your balance sheet as owned - but the finance liability does appear.
Finance Lease keeps the vehicle on the lender's balance sheet throughout, which suits operators who prefer to show the rental charge as an operating expense. Monthly payments are generally lower than HP because a balloon (residual value) sits at the end. You do not own the vehicle outright at the end; instead you can continue leasing, return the vehicle, or sell it and take a share of the proceeds. VAT-registered businesses reclaim VAT on payments in the period they are incurred.
What Close Brothers Will Fund
Close Brothers' commercial vehicle appetite is broader than most mainstream lenders. Key acceptance criteria for October 2026:
- Businesses trading for six months or more (some mainstream lenders require two to three years)
- Limited companies, partnerships and sole traders
- Adverse credit considered - CCJs, defaults and missed payments assessed individually rather than declined automatically
- Auction purchases and trade transactions, not just dealer forecourt sales
- Refinancing of existing assets (sale and HP-back / sale and leaseback)
- Complex trading structures including holding companies and SPVs
- Assets up to ten years old at the end of the finance term
Strengths
- New businesses from 6 months' trading
- Adverse credit considered
- Auction and private purchases
- Refinance of existing fleet
- Complex business structures
- Fleet facilities (5+ vehicles)
- Balloon payments on finance lease
- Competitive rates for prime borrowers
Limitations
- Sole traders under 6 months' trading not considered
- Assets over 15 years old not typically funded
- Adverse credit incurs rate premium
- Heavy adverse (multiple CCJs) may require larger deposit
- No personal vehicle finance - commercial only
Close Brothers vs Market Comparison
For a new HGV on hire purchase, Close Brothers' 5.9% APR headline rate sits competitively in the specialist market. Here is how they compare against other lenders accessible through the Doulton Bridging Finance panel for October 2026:
| Lender | New HGV HP From (APR) | New HGV Finance Lease From | Used HGV HP From | New Business? | Adverse Credit? |
|---|---|---|---|---|---|
| Close Brothers | 5.9% | 5.4% | 6.5% | 6 months+ | Yes |
| Aldermore | 6.2% | 5.7% | 7.2% | 12 months+ | Yes |
| Novuna Business Finance | 6.4% | 5.8% | 7.5% | 24 months+ | Limited |
| Black Horse Commercial | 6.1% | 5.6% | 7.0% | 12 months+ | Limited |
Close Brothers offers the most competitive rates for new HGVs among the specialist lenders in this comparison, while also offering the most flexible trading history requirements. For businesses with clean credit and two or more years' trading, the difference between lenders narrows, and the broker can negotiate on price. For newer or more complex businesses, Close Brothers' willingness to look at the whole picture rather than decline at the application screening stage is often the deciding factor.
How to Access Close Brothers Through Doulton Bridging Finance
Close Brothers does not deal directly with end borrowers for commercial vehicle finance in most cases - the most favourable terms are typically accessed through an approved broker panel. As an independent specialist finance broker, Doulton Bridging Finance holds panel access and can submit a case to Close Brothers alongside competing quotes from Aldermore, Novuna, Black Horse and others simultaneously.
That means you receive a genuine market comparison rather than a single-lender quote, and we negotiate on your behalf rather than presenting you with a take-it-or-leave-it rate. Our fee is disclosed upfront before you commit to anything.
Use the enquiry form below to start. We will come back with indicative terms within one business day for most standard commercial vehicle enquiries.