Bridging applications, completions and loan books all recovered in the second quarter of 2022, according to the latest data from the Association of Short Term Lenders (ASTL).
The figures, compiled by auditors from data provided by members of the ASTL, show that bridging completions were just over £1.2bn in the quarter ending June 2022, an increase of 17.4% on the previous quarter. This means that completions have now been more than £1bn for five consecutive quarters.
Bridging applications rose considerably to £7.5bn, an increase of 18.7% compared to the quarter ended March 2022, and the size of loan books has also risen, reaching a new high of just under £6.1bn.
Vic Jannels (pictured), CEO of the ASTL, said: “The latest ASTL Data Survey shows a very strong set of results, with bridging applications, completions and loan books all rebounding significantly on the first quarter of the year. As a result, the value of loan books has now reached a record level of more than £6bn. This demonstrated the resilient nature of this market, which continues to grow and mature, attracting a wider number of customers.
“However, there is reason for caution. The value of loans has started to rise, as have repossessions, and in the current economic climate, it is vital that bridging lenders continue to operate in a way that is responsible and sustainable. At the ASTL, we are helping the market to achieve this sustainable growth.
“Not only do our members commit to behaving in line with our strict Code of Conduct, but we are also working together with our colleagues at the Financial Intermediary & Broker Association (FIBA) and the London Institute of Banking & Finance (LIBF) on the delivery of an optional e-learning course later this year that will help to ensure minimum standards across our industry.”
