During the final quarter of 2022, the Association of Short Term Lenders (ASTL) revealed a significant increase in bridging applications and loan books, despite the ever-looming economic uncertainty. The welcome figures revealed that bridging applications surged by 9.1% to £8.6bn when compared to Q3 of 2022. Meanwhile, loan books expanded by 6.4% and reached an unprecedented all-time high of over £6.5bn.

The value of completions, however nose-dived by a concerning 10.4%, dropping to £1.3bn in Q4. This drop, although surprising, was not enough to dampen spirits in the market, as bridging completions have consecutively exceeded £1bn for seven whole quarters, proving a degree of stability in the industry.

The year 2022 brought with it a 15.5% and 28.9% increase in bridging completions and loan books, respectively, in comparison to 2021. Nonetheless, the value of applications significantly dropped by a massive 13.9%.

Speaking on these findings, Vic Jannels, CEO of the ASTL, stated, “Given the economic turbulence experienced during the final quarter of 2022, it is perhaps unsurprising that we saw a slight dip in the value of applications for bridging finance.

“However, bridging completions and loan books continued their strong upward trajectory, demonstrating sustained growth in the market.”

The market has remained buoyant despite the constant uncertainties, with lenders adhering to the ASTL’s Code of Conduct.