We’re committed to enhancing the standards of our industry while tackling emerging challenges head-on, and we’re currently working across a number of fronts, including engaging with the FCA, combatting fraud and continuing to deliver valuable insights into the growing bridging and development market.

Engaging with the FCA on Consumer Duty

One of the key issues currently shaping the conversation within our industry has been the introduction of Consumer Duty by the FCA.

We recognise that this is a significant regulatory shift that aims to drive positive outcomes for consumers across the wide range of financial services, but we also understand that it brings its own complexities for those striving to deliver outstanding quality and fair outcomes.

The BDLA is actively engaged in ongoing dialogue with the FCA, working alongside other trade associations to assess the real impact of these increasing regulatory requirements on our market.

Our focus is on identifying both the benefits and any unintended consequences that Consumer Duty could have for lenders, brokers, and borrowers.

As part of this, we have engaged in detailed discussions with our own lender members to gather insights on how these rules are influencing their business models, relationships with brokers, and interactions with customers.

Our aim is to work alongside the regulator in providing a fuller picture on the increasing implementation and impact of consumer duty.

Combatting fraud through collaboration and technology

In addition to regulatory engagement, we are also taking proactive steps to address another pressing challenge – fraud.

The bridging and development lending sector is not immune to fraudulent activity, which can undermine trust and cause significant financial damage. To combat this, we recently held the first in a series of workshops focused on fraud prevention.

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The session was a great success, with attendees reaching a key conclusion – the most effective way to combat fraud is through the intelligent use of technology and increased industry collaboration. By sharing information in a compliant manner, we can collectively identify and address new fraud schemes early on.

The BDLA is committed to exploring how best to facilitate this type of collaboration, ensuring that none of our members are left vulnerable to the ever-evolving tactics of fraudsters.

Ongoing research and industry insights

You may well know that the BDLA recently partnered with Interpath Advisory on its first Bridging Market Survey, which provided valuable insights into current trends, opportunities and challenges in our market.

Based on the success of this study, we are already planning to expand the scope of the research for next year. Insights gathered from such studies help us guide our members and adapt to the shifting landscape of our industry.

Further strengthening this collaboration, Interpath will host a panel debate at our upcoming annual conference, featuring representatives from J.P. Morgan, Lloyds Banking Group, Shawbrook Bank, and Quilam Capital.

This debate will focus on the funding landscape and offering our members a unique opportunity to hear directly from key individuals at some of the most prominent funding organisations in our industry.

Additionally, on the topic of research, we are planning on another research project aimed at understanding borrower perceptions of bridging finance. By exploring the level of borrower awareness and knowledge around bridging options, we hope to identify any gaps in understanding and better equip brokers and lenders to address them.

The BDLA is now at its largest ever membership, and we are in active talks with even more prospective lender and associate members.

Our continued growth is a testament to the strength of our industry and the value of collaboration. As we expand, we remain focused on ensuring that our members receive the support and resources they need to thrive in a competitive environment.