Asset based lending continues to show steady growth
UK Finance’s invoice and asset based lending update for Q3 2018 reveals:
– Support for businesses through invoice finance and asset based lending stood at £22.6bn at the end of Q3 2018, up two per cent compared to the same quarter the previous year.
– The number of businesses using invoice finance and asset based lending remain stable at over 40,400.
– For large businesses (with a turnover of over £100m), support stood at £7.4bn, with an average advance value of £17.2m.
Commenting on the data, Stephen Pegge, managing director, commercial at UK Finance said:
“Asset based lending continues to show steady growth, driven mainly by advances to larger businesses.
“Support to small and medium-sized companies through invoice finance and asset based lending is now comparable to total balances drawn on overdrafts.
“However, overall growth has remained modest in line with recent trends across SME lending, as businesses delay investment decisions until the broader economic picture becomes more certain.””
