Small business lending levels have hit £20bn for the past year, according to a recent study by the National Association of Commercial Finance Brokers (NACFB).
The national trade body for brokers, who arrange finance for businesses, found that lending levels have grown year-on-year for the past seven years.
The NACFB said that although there has been a backdrop of political and economic uncertainty surrounding the EU Referendum, small business lending hit an all-time high.
Between the year ending July 2015 and July 2016 there has been an increase of nearly 30 percent, to £20.7bn.
Adam Tyler, chief executive of NACFB, said: “It’s been a phenomenal and record breaking year across the commercial finance sector. With the UK’s SMEcommunity showing a real appetite for growth, we have seen small business lending at levels above even those registered before the financial crash.”
The survey reports other areas which have seen an increase compared to last year, including invoice finance which is up 23 percent, development finance up 50 percent and bridging finance up 75 percent.
The NACFB said that while traditional forms of lending, such as commercial mortgages, have had an impressive year, lending in the alternative finance space, which includes peer-to-peer lending, has slowed down.
Taylor said: “Interestingly, the figures show that there has been a significant switch by small businesses back to traditional forms of lending. The alternative finance sector has grown at such a pace that it was inevitable that rate of growth couldn’t be sustained.
“Peer-to-peer will always have its place, but alternative forms of funding are no longer the only future; they are just one of many forms of finance available to small and medium sized businesses."