The Economics of peer-to-peer lending
A groundbreaking new report is being released today at LendIt Europe 2016 in London. Titled “The economics of peer-to-peer lending”, the report was commissioned by the UK Peer-to-Peer Finance Association (P2PFA) and produced by Oxera. The 74-page report presents findings of an economic assessment focusing on the benefits and impact of the p2p lending industry.
With the FCA conducting their review of the P2P lending industry this report is clearly aimed at informing public policy. But rather than be a self-congratulatory piece with little substance it is a thorough analysis of the sector in the UK and contains information never before made public. The information presented includes data from the eight members of the P2PFA: Funding Circle, ThinCats, RateSetter, Lending Works, Zopa, MarketInvoice, LandBay and LendInvest.
This report presents the findings of this economic assessment. It aims to explain how P2P lending works as well as present evidence on the benefits that it delivers to its users and to the wider economy. The report considers the appropriate regulatory framework following an assessment of the key issues that have been raised by the FCA and other parties. The focus of the report is on the eight members of the P2PFA.