Nesta predictions for growth of alternative finance are ‘Worst Case Scenario’…
Individual P2P finance platforms could be lending £1bn within three years
Responding to NESTA predictions for the growth of alternative finance, Stuart Law, CEO of Assetz Capital, one of the UK’s fastest-growing peer-to-peer lending platforms, commented:
“The report’s projections are actually extremely low, and I’d be stunned if growth didn’t substantially exceed them – especially for P2P lending. The report’s authors concede that their growth forecast is based only on historic averages, whereas we believe that the next year will continue to bring exponential growth based on a number of factors.
“2014 brings a ‘perfect positive storm’ for P2P lending platforms: not only will FCA regulation lead to increased consumer confidence in the industry, but there are strong rumours that steps will be taken to make P2P lending more tax efficient in 2014, such as inclusion in ISAs and SIPPs with the resulting increase in capital deployed in P2P lending.
“We currently anticipate that we’ll facilitate loans worth £100m by the end of 2014, but if more tax-efficient measures are incorporated in to P2P alongside our rapid growth in attracting lending capital we’d expect to have lent £1bn within 3 years ourselves – with the market multiplying in size accordingly.”
For more information, visit www.assetzcapital.co.uk
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