Peer2Peer Finance News
The UK's first peer-to-peer finance magazine for investors and the industry
  • Home
  • News
    • Personal Finance News
    • Industry News
    • SME News
    • Global News
  • Property
  • IFISA
    • IFISA Guide
  • Video
  • Open Banking
  • Cryptocurrency
  • Features
    • Joint Ventures and Promoted Content
  • Comment & Analysis
  • What is P2P?
  • Partners
  • Events
    • Past Events
  • P2P Power 50
    • Power 50 2018
    • Power 50 2017
  • Sign up to our e-newsletters
  • Magazine
  • Directory
  • Log In
shutterstock_83227672
October 19 2016

UK P2P lending hits £6.5bn

suzie10 Industry News, News Christine Farnish, Funding Circle, Lending Works, Peer-to-Peer Finance Association, UK P2P growth, UK P2P lending, Zopa

PEER-TO-PEER lending through the UK’s largest platforms has almost reached £6.5bn, new research has found.

Data from the Peer-to-Peer Finance Association (P2PFA), which represents the Big Eight lenders, found that investors lent more than £700m through the platforms in the third quarter of the year – up from £658m in the second quarter but down from £715m in the first three months of 2016.

This brings cumulative loans up to £6.498bn.

The total number of current lenders rose to 161,401 in the third quarter from 150,376, while the number of borrowers rose to 363,198 from 331,107.

“Data from the third quarter of 2016 highlights the strength of peer-to-peer lending in the United Kingdom, and underscores the value that this form of alternative finance is providing to the economy for borrowers – both business and consumer – as well as lenders,” said P2PFA chair Christine Farnish.

“Peer-to-peer lending continues to deliver a competitive alternative to traditional lending.”

Zopa continues to top the chart, with cumulative lending hitting £1.732bn in the third quarter, up from £1.556bn in the previous quarter.

Next is Funding Circle, with a cumulative total of £1.524bn, up from £1.341bn in the second quarter.

Investors have cumulatively lent £33.636m through Lending Works, the least out of the eight platforms. However, this could soon change as the firm received full Financial Conduct Authority Approval last week, paving the way for its launch of the Innovative Finance ISA. The tax-free wrapper is predicted to open up the P2P market to many more retail investors.

 “As Lord Turner said last week: at an accelerating pace, direct non-bank lending has extended to segments previously almost entirely dominated by banks,” added Farnish. “The direct lending industry will grow and play a useful role in our overall credit supply system.”

There is plenty of scope for the UK’s P2P market to grow further. A recent study by accountancy firm KPMG and the Cambridge Centre for Alternative Finance found that the global P2P market grew by 271 per cent to more than $130bn (£106.4bn) last year, mainly due to China and the US.

 

 

 

Crowdstacker-backed Amicus applies for banking licence LendingCrowd tempts new investors with joining bonus

Related Posts

Michelle-Mone-photo-credit-Dan-Kennedy

Industry News, News

Michelle Mone’s crypto platform rebrands again

shutterstock_529618147

Industry News, News

Assetz Capital dips into provision fund to refund wind energy investors

shutterstock_1383378692

Global News, Industry News

Funding Circle urges US regulators to follow UK model

Popular posts:

  • Lendy administrator confirms how P2P investors will…
  • P2P platform collapses serve warning about taking…
  • Landbay exits retail P2P lending market
  • Funding Circle goes live with secondary market changes
  • Hargreaves Lansdown’s P2P lending architect joins RateSetter
  • Greg Carter to be replaced as Growth Street chief executive
  • Home
  • Contact
  • About
  • Team
  • Advertising
  • Subscribe
  • Privacy
  • T&Cs
  • Disclaimer

Follow Us on Social Media

© Peer2Peer Finance News 2019 • Additional design by