Christie & Co reports activity increase for Christie Finance in its Business Outlook 2023 report

Specialist business property adviser, Christie & Co, has today launched its annual Business Outlook report, ‘Business Outlook 2023: Finding Clarity’, which reflects on key business themes, market activity, and a look ahead at what 2023 may bring across the sectors in which Christie & Co-operates, including insight from commercial finance specialist, Christie Finance.

Market Activity

Christie Finance reports a year-on increase of 16 per cent in 2022, with high levels of activity across all specialist sectors, particularly in securing finance within the Retail sector, with additional high levels of activity across the Care, Dental, Pharmacy, and Childcare sectors.

2022 saw peak borrowing rates which were unseen for over a decade, and Christie Finance discuss how this will affect lending over 2023. Due to increase in Bank of England interest increases, lenders and borrowers will need to factor in total cost of loan repayments and whether this is achievable for all lenders. There has been an increase in the withdrawal of fringe and specialist lenders, and traditional lenders are expected to remain cautious of new-to-bank lenders over the next year.

Funding landscapes

Christie & Co’s Business Outlook report incorporates comments on the funding landscape within each of its sectors, with expert input from Christie Finance sector experts, reflecting the varied experiences each had in terms of lending in 2022. While some sectors remain optimistic for the year ahead, many expect to see more borrowers seeking refinancing opportunities and acknowledge that there will be increasing vigilance from lenders in 2023.

Unsecured and Asset Finance

Christie Finance report that circa £25 million of finance was sourced for UK SMEs across various sectors in 2022, with significant demand across the Pharmacy, Care, and Retail sectors. It’s also reported that 2022 saw an increase in demand for equipment finance, with much of the unsecured deal split being asset finance. It’s anticipated that demand for asset finance will only increase and that there will be a continued demand for refinancing across all sectors.

Market Predictions

In the year ahead, Christie Finance expects:

  • Traditional lenders will remain cautious towards new-to-bank clients
  • An increase in those seeking to restructure or refinance
  • Strong demand for borrowing will remain in 2023 across all sectors
  • Demand from alternative funding providers will mirror this demand for borrowing
  • Equipment finance in certain sectors will see an increase as technology becomes a more relevant driver for growth

John Mitchell, Managing Director at Christie Finance, comments, “Accessing debt - whether for acquisition purposes, refinance or investment - has become more challenging for business operators in recent years - particularly via traditional funding routes. However, options do usually exist so having access to lenders from across the wider market is usually the solution that business owners need. Increasingly we receive enquiries from clients that have been let down or frustrated by the response from their incumbent bank.”

To read the full report, click here: www.christie.com/business-outlook-2023

For further information on this press release, contact:

Fiona Fieldhouse, Corporate Communications Director
E: fiona.fieldhouse@christie.com
P: 07738 182 406