67% of patron lender’s total SME lending for 2024 came via a commercial intermediary channel, findings from the NACFB’s latest impact report revealed.
The report found that over 83% of patron lenders reported an increase in brokers on their full panels throughout the year.
In fact, the lender respondents saw an average of 2,400 transactions completed through commercial intermediaries in 2024.
Real estate and property activities were the dominant sector for borrowing enquiries in 2024, accounting for 28% of overall demand.
Accommodation and food services followed at 13%, with brokers also reporting strong interest from hospitality businesses seeking finance.
The majority of broker-facilitated transactions fell within the £200,000 and £999,999 range, accounting for 52% of responses.
Lenders’ appetite was highest for property transactions (26%), aligning with broker demand.
However, sectors such as wholesale, retail, and transport face lower lender appetite, despite ongoing funding needs.
Looking ahead to 2025, brokers expected real estate (20%), construction (8%), and retail (8%) to drive growth, whilst finance for sectors like public administration, mining, and the arts remains comparatively limited.
Kieran Jones, the NACFB’s head of advocacy, said: “Whilst property remains a stronghold for both brokers and lenders, other sectors face a more complex funding landscape.
“Brokers highlighted a mismatch in areas like retail and transport, where lending appetite appears to lag behind borrower demand.”
