Bridging lenders are positive about the outlook for their businesses, the bridging market and the long-term outlook for the UK economy, according to research from the Association of Short Term Lenders (ASTL).

The latest sentiment survey from the ASTL, which was conducted among members of the ASTL shortly after the Budget in March, found that more than 73% of bridging lenders are confident about the long-term prospects for the economy. This compares to 64% when the survey was last run in July 2020.

When it comes to the immediate prospects for the bridging sector and their own businesses, the study suggested lenders are even more positive. The findings revealed that 87% of bridging lenders think the turnover of their business will grow in the next six months, while 77% expect the turnover of the wider bridging sector to increase.

This compares positively to the survey in July last year, when 41% of respondents anticipated the turnover of their business would shrink in the following six months, and 36% predicted the turnover of the wider bridging sector to fall.

Lenders were found to be divided over whether or not they think competition in the bridging sector will increase in the next six months, with 47% thinking it will remain the same while 43% suggested that competition will increase. Only 10% of lenders are expecting a decrease in competition in the next six months.

“This latest sentiment survey of the ASTL’s members is an important one as it gives us an opportunity to take a step back and reflect on the year we have been through,” said ASTL CEO, Vic Jannels.

“The significant increase in positivity compared to last summer reflects not only the general optimism about the rollout of the vaccination programme, but also the way that bridging lenders have been able to evolve and adapt to the changing environment.

“The sector is in a strong position to continue to support the recovery with fast, flexible short-term lending to meet the diverse needs of a range of customers.”

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