Commercial News

Asset and invoice finance up 13% - UK Finance

Amy Loddington -
|
19th December 2017
arrow up promote increase

Data released by UK Finance today shows that the invoice finance and asset-based lending sector is providing more finance to UK businesses than ever before.

Advances (the amount of funding being provided to clients at the close of the most recent quarter) are up 13 per cent year on year and stand at just over £22 billion for UK businesses.  This is the highest advances figure ever.

Total sales (turnover) of clients supported by invoice finance and asset-based lending are up 4 per cent for UK clients, standing at £214 billion for the first three quarters of 2017.

Client numbers are stable at just over 40,000 UK clients.
   
The exporting picture is particularly strong, with sales from clients through export invoice discounting facilities up 33 per cent year-to-date, and export factoring up 11 per cent.

Matthew Davies, Director, Invoice Finance and Asset-Based Lending at UK Finance said:

“There is increasing understanding amongst businesses of all sizes of how invoice finance and asset-based lending can support them as they grow, and it is particularly encouraging that a substantial proportion of the sustained increases in lending we’ve seen in recent months is helping boost UK exports.

“2016 was itself a record year for the invoice finance and asset-based lending sector, with the industry supporting client turnover of £280 billion for the year. But more funding could and should be provided through invoice finance. To unlock this, the government should bring forward long-awaited legislation to give more smaller firms, in particular, access to much-needed capital.”

Related articles
More from Commercial News