The figures, compiled by auditors from data provided by members of the ASTL, show an increase in the size of bridging loan books in the first quarter of 2024, rising by 6.8% on the final quarter of 2023 to reach £8.1bn.

Completions in Q1 2024 were £1.51bn, which was a decrease of 10.5% on the December 2023 quarter, but still represents a 6.2% increase on the same period in 2023.

And the pipeline for new business was strong, with applications showing a large increase of 17.5% in the first quarter of 2024, compared to the quarter ended December 2023, totalling £11.3bn.

The ASTL reports that the average LTV for bridging lending was 60.5% in Q1 2024, which is an increase from 58.7% in the December 2023 quarter. Whilst loans in default fell back slightly showing a decrease of 8.7% compared to December 2023.

ASTL chief executive Vic Jannels commented: “The latest lending data from members of the ASTL shows that demand for bridging finance continues to be strong. Loan books reached £8.1 billion in Q1 2024, representing the highest level on record, and this is without accounting for the lending of one of our members, which only reports its figures on an annual basis.”

He added: “This is an exciting time for the sector. The launch of the Certified Practitioner in Specialist Property Finance (CPSP) last year will play a big role in helping to further enhance standards and, as an association, we are working on upcoming plans that will go a long way in continuing to grow awareness and consideration of bridging finance amongst brokers and customers.”