Alternative finance intermediaries have been growing in size and impact in recent years in the UK as they attempt to provide much needed capital to individuals and businesses. This report presents the results from the first survey of the UK’s alternative finance sector. The research presents the size and growth of alternative finance activities such as crowdfunding and peer-to-peer lending in terms of amounts raised, ventures funded and individuals contributing funds.
UK alternative finance intermediaries facilitated £939m in funding to individuals and businesses in2013. This was up 91% on 2012. This figure represents a broad range of distinct funding models such as equity crowdfunding or invoice financing, all or which serve different customers and are growing at different rates. Many of these are delivering finance to UK SMEs. In 2013 £332m of SME financing was provided by alternative finance intermediaries.
