The return to the market of bridging companies with an appetite to lend can easily be demonstrated by the marked increase in gross lending when measured year on year. From May 2013 to May 2014 the total gross amount of funding supplied by bridging companies totalled £2.05bn. When compared to the 12 months prior to this you discover an increase of over 17% in total lending.

The years of reluctance to lend have long gone with most lenders coming to the market place with adequate capital in place and a positive attitude to lending. Most funding is being provided to experienced borrowers and developers looking to convert or refurbish existing property, whilst the demand for funding for ground up development is only just starting to show the early signs of recovery.

Incentives put in place by the government to try and stimulate the market have had limited success as they are more restrictive in design, it seems that the flexibility of traditional bridging finance is proving much more attractive to property developers and landlords.