Almost half of brokers working in the specialist lending market say that development finance is now more active than the bridging loan market, according to a poll by TAB.

The short-term property finance lender says 46 percent of advisers said the development finance market was “hotter”, 38 percent thought the bridging loan market was more active, while 15 percent said they were unsure.

A record 247,500 planning consents were granted in England in the year to the end of last September, 36 percent higher than the number granted in the year before – and a fifth above pre-pandemic levels, according to the latest official planning statistics.

The lender says its own data supports what brokers said in its poll.

In 2021, bridging loans represented 80 percent of the value of the firm’s lending enquiries. This has dropped to 64 per cent so far this year.

It adds development finance accounted for 13 per cent of the enquiries in 2021, compared to 31 percent this year.

TAB founder and chief executive Duncan Kreeger says: “The bridging market has been buoyant since 2005 but it took off in the wake of the credit crunch in 2007/8.

“Since then it’s been white hot. We’re now just beginning to see the development finance space take over.

“We are seeing more and more interest from brokers looking for fast, short to medium term access to capital on behalf of clients who need to finance the construction, conversion and refurbishments of property projects.”

TAB polled 26 senior brokers in the specialist lending market in person at an event to mark the opening of its new headquarters in Hertfordshire on 24 February.