The peer-to-peer platform provided finance to 1,309 UK businesses during the month and reported that investors are set for a current estimated return of 6.7% per year.

Businesses in the property and construction sector secured the most amount of finance from Funding Circle during August, receiving 21.8% of the total lending.

Manufacturing and engineering businesses secured 11.3%, while professional and business support firms accounted for 11.1%.

Funding Circle reported that of its total lending, 24.7% was provided to businesses based in the South East.

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Businesses in London accounted for 14.6%, while Midlands and North West companies secured 12.9% and 12.6% respectively.

This month Funding Circle will launch upgraded versions of its current Autobid and Autosell lending tools as it ends the option allowing investors to manually choose which businesses to lend to.

Funding Circle is also set to introduce its Isa this tax year after securing manager status from HMRC.