ASTL: Bridging lenders positive on economic outlook
Bridging lenders are positive about the outlook for their businesses, the market and the long-term UK economy, according to the latest sentiment survey from the Association of Short Term Lenders (ASTL).
The research found that more than 73% of bridging lenders are confident about the long-term prospects for the UK economy, compared with 64% when the survey was last run in July 2020.
The majority (87%) of bridging lenders think the turnover of their business will grow in the next six months, while 77% expect the turnover of the wider bridging sector to increase.
This compares positively to the last survey, when 41% of respondents anticipated the turnover of their business would shrink in the following six months, and 36% predicted the turnover of the wider bridging sector to fall.
Lenders in the most recent survey were divided over whether or not competition in the bridging sector will increase in the next six months; 47% think it will remain the same while 43% think that competition will increase.
Only 10% of lenders expect a decrease in competition in the next six months.
Vic Jannels, chief executive at the ASTL, said: “This latest sentiment survey of the ASTL’s members is an important one as it gives us an opportunity to take a step back and reflect on the year we have been through.
“The significant increase in positivity compared to last summer reflects not only the general optimism about the rollout of the vaccination programme, but also the way that bridging lenders have been able to evolve and adapt to the changing environment.
“The sector is in a strong position to continue to support the recovery with fast, flexible short-term lending to meet the diverse needs of a range of customers.”