The Association of Short Term Lenders has written to the Treasury asking to be included in future talks on rebuilding the economy.

The trade body says that bridging lenders will play a crucial role in supporting small and medium firms to get their businesses back up and running.

The letter says: “We believe that our members will be an important part of the solution as and when we exit this pandemic and rebuild our economy. “Certainly, they will be called upon to provide much-needed liquidity to fund recovery and growth in the SME community as alternative and specialist providers of finance.

“With this in mind, we would like to discuss with you how the broad approach to the current moratorium affects short-term mortgage lenders and, as we move forward, how provision can be made to re-enforce the ability of our members to advance new loans and provide SMEs with the liquidity they will need to rebuild their businesses.”

ASTL chief executive Vic Jannels says: “We have endeavoured to encourage HM Treasury that it really would help if we are able to engage in a collaborative approach, which would put public health first, protect homeowners and small businesses, and also acknowledge the vital role that the short-term mortgage lending community can play in the UK’s economic recovery. 

“It is important that we work together on an effective and diverse financial response to the current situation in a way that protects consumers and supports businesses.”