Levels of new lending have increased significantly during the first quarter of 2016, continuing the trend of the last few years.
The volume of lending and capital re-paid as well as the number of current lenders and borrowers have all increased quarter-on-quarter for more than a year, demonstrating the continued mainstreaming of peer-to-peer lending platforms in the provision of finance. Volumes of lending have almost doubled compared with what they were last year. Peer-to-Peer Finance Association members have now lent £5.1 billion since 2010 – with £715,000 of new lending during the last three months alone.
Commenting on the data, Christine Farnish CBE, Chair of the Peer-to-Peer Finance Association observed: ‘the growth in peer-to-peer finance is impressive, and demonstrates the considerable momentum now behind the sector. Peer-to-Peer lending is now a mainstream and established part of the UK’s financial landscape’.
She continued: ‘With peer-to-peer loans now eligible for tax-free investments through the personal savings allowance and with the new innovative finance ISAs regime, we expect further significant growth in the future. This is great news for investors and borrowers alike’.