Most brokers do not anticipate a rise in lenders’ interest rates or charges in the near future and expect an increase in bridging business levels, a survey from specialist lender United Trust Bank (UTB) has found.

The survey revealed that 63 per cent of those asked do not expect lenders’ interest rates and charges to change in the near future.

62 per cent of those questioned also indicated that they expected to place increasing levels of bridging business over the next 12 months.

Although 67 per cent of brokers suggested that the current economic climate has had a negative effect on their business, the majority are optimistic about the next three years.

47 per cent of brokers described the three year outlook for their business as ‘optimistic’, whilst 23 per cent described it as ‘comfortable’.

However, some are cautious with 27 per cent describing their prospects as ‘unsure’ and 3 per cent saying that they were ‘worried’ about the three year outlook for their businesses.

Alan Margolis, UTB’s Head of Bridging, said: “Bridging lenders’ interest rates and charges have remained fairly static for some time now, despite some increased competition from a few new entrants. Most brokers accept that it would take a significant change in the Bank of England base rate for it to influence bridging lenders and, with disappointing economic growth forecasts and more quantitative easing on the way, a change from the Bank of England in the near future looks unlikely. 

“It’s encouraging to see that most brokers are expecting to place increasing levels of bridging business over the next 12 months and nearly half of brokers are optimistic about the outlook for their own businesses over the next three years. 

“These are undoubtedly still very tough times for many people, however some brokers are flourishing. United Trust Bank is committed to building strong relationships with its broker partners and we will continue to do all we can to help brokers serve their customers and develop their businesses.”