More than two thirds (68%) of brokers expect to arrange more bridging loans in 2024 compared to 2023, the latest Castle Trust Bank pulse survey has found.

Research by the lender revealed that a quarter (25%) of brokers expect a "good increase" in bridging business during 2024, with 43% saying they think it will be "slightly higher".

One in five (21%) brokers expect demand to remain the same, while only 11% are concerned that bridging business levels will fall.

Castle Trust Bank said this positive outlook reflects continued growth in demand for bridging finance, with 42% of brokers saying they arranged more bridging loans in 2023 than in 2022.

This contrasts the 38% of brokers who said they arranged fewer bridging loans for first-time investors in the past year, indicating that experienced property investors are driving the growing demand for bridging loans.

Commercial director at Castle Trust Bank, Anna Lewis, said: "The results of the latest pulse survey from Castle Trust Bank reflect market data which shows that bridging has continued to go from strength to strength despite difficult economic conditions. And brokers are positive about the outlook for business levels, with a quarter expecting a significant rise in enquiries.

"These results demonstrate increasing confidence in the property market as well as the growing use of bridging finance amongst investors to help them achieve their objectives, whether that’s to facilitate a quick property purchase or to finance a refurbishment or conversion project."

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