Great article from Stian Westlake from NESTA this morning in City AM looking at the need to foster disruption in UK finance models via crowdfunding and peer-to-peer lending:
This is radical stuff. It replaces the complex and costly processes of a bank’s business lending operation with a website and a swarm of small lenders. Borrowers like the speed and the simplicity. Lenders enjoy the convenience too, and the feeling that their money is helping real businesses.
It’s a long-term game, but competition and diversity are the only ways to get more, better and cheaper finance to growing UK businesses.