The peer-to-peer lending industry lent more than £2.2 billion in 2015 according to new figures released today from the Peer-to-Peer Finance Association (P2PFA).
The sector has now lent £4.4 billion in total, doubling in size since the end of 2014. In the final quarter of 2015, P2PFA members provided just under £650 million in new lending.
The figures also show a growth in users of peer-to-peer lending. In the past 12 months, the number of lenders increased by more than a fifth (22 per cent) to just over 128,000, while borrowers have almost doubled (96 per cent) to 273,000.
Rhydian Lewis, CEO at RateSetter, one of the UK’s largest peer-to-peer lending platforms, commented:
“As an industry, we’re getting to the point where banks and large institutions are taking notice. In January, RateSetter became the fastest platform to lend £1bn cumulatively, and with the Innovative Finance ISA just weeks away, we’re looking forward to further growth in 2016.”
Christine Farnish, Chair of the P2PFA, said:
“Year-on-year, peer-to-peer lending continues to grow and have a strong impact across all markets. The growth demonstrates that more lenders and borrowers believe our industry to be a real alternative to traditional lenders. This is only enhanced by our members’ approach to transparency and strict business conduct rules.
“2016 is another important year for the industry as we look forward to the April launch of the Innovative Finance ISA.”