The ASTL, the trade body for short term lenders, has published the bridging and short term lending figures for the quarter ended 31 March 2013.
In the first quarter of the year, applications were received for £1.113 billion, while ASTL members lent £288 million worth of loans up from £283 million last quarter. The loan book at end of period was worth £1.102 billion.
Applications were down, but loans written were 1.4% up on the previous quarter; there was also an increase of over 4.6% in total loan books.
The ASTL said that as applications are often received by several lenders, the decrease in value in total applications is not necessarily relevant as it indicates that more people may have applied just to one lender for their loan, it is therefore the amount lent that is significant.
ASTL short term lending figures, representing the lending of all of its members, are produced and published quarterly.
Benson Hersch, chief executive of the ASTL, said: “The figures reflect the steady increase I expected revealing the ongoing need for bridging finance. This has not decreased, despite pressure by government and promises by mainstream banks to lend more, as a result, short term loans are filling the gaps in many instances. Do we want to put something in about bridging finance also being used for business purposes or can we not measure this?
“After a significant rise at the end of last year, the current quarter has seen steady demand and I expect the next quarter’s figures, to continue to show a slow but steady improvement.”