Local lending specialists Future Finance have announced a 40% increase in business. As a barometer to the economy, positive growth in local lending represents a renewed confidence in the market.
The financial results reflect the Company’s last quarter, showing significant growth in comparison to the figures of the past few years. Growth is proven across all business sectors from loans for home improvement, to mortgage financing, to factoring services. Of particular importance is the finance that has been secured for the purchase of plant and machinery; an early indication that the local construction industry, which has been hard hit, is showing signs of recovery.
There has also been significant growth in finance being sought by local businesses bidding to improve their offering. Investment in IT systems and infrastructure has been particularly prevalent. Future Finance also reports that they’ve advanced more funding to new businesses this year than ever before.
Mortgage finance has also augmented as is reflected in the figures for recent Royal Court transactions. There’s been an upsurge recorded for both residential and commercial sectors. Future Finance has seen such demand that they have responded with the recruitment of a new mortgage specialist.
This performance is again being reflected on the mainland with latest London figures reporting an 18.2% increase in property valuations over the last year. Future Finance has facilitated a large number of UK short-term transactions, lending local peoples funds into the London property market, which has been providing excellent returns for Jersey clients.
Future Invoice Finance (FIF) has again recorded a record number of engagements in the first quarter with a six-fold increase in business. FIF only engages local companies looking to grow, or those that have too much business to handle their own credit control, so this increase is a very positive message for confidence in the local market. FIF still remains the only company in the Channel Islands and Isle of Man to offer a Factoring service.
Denny Lane, Director, Future Finance, says:
‘Confidence is back and much is due to the recent economic results of the UK showing that Britain’s economy will grow faster than any other G7 nation in coming quarters. This renewed positive growth is reflected in the Channel Islands and we are seeing a wide range of clients looking to grow, diversify and invest in the future. In the past month, we’ve secured everything from a £10k loan for a small digger, to a £500k loan for a business acquisition, to a £2m residential mortgage. Our arrears are also lower which basically means people are in a better position to pay.
Week in, week out I see a great number of local businesses and it’s refreshing to see such positivity returning. We’re not out of the woods yet but many lessons have been learnt over past years; the fittest have survived and are now ready to look forward.’
Category: Finance & Business