P2PFA welcomes pledge to deliver on ISA reforms

Following the announcement in the Budget outlining further information about reforms to the ISA wrapper, Christine Farnish, Independent Chair of the P2PFA, said: “We are delighted that today’s Budget continues to signal Government support for the inclusion of peer-to-peer lending within the ISA wrapper. This is undoubtedly a positive step. How this is done will be critical to the success of these reforms. Placing P2P lending within the existing stocks and shares wrapper is bad for consumer choice and fails to recognise the distinct difference between P2P loans and equities. A recent survey conducted by the P2PFA show 74% peer-to-peer lenders like the idea of a separate lending ISA and 81% believe a Lending ISA (LISA) would introduce more choice across the investments market. We urge the Government, whoever that is this summer, to listen to the clear wishes of consumers and deliver the LISA.”

The Peer-to-Peer Finance Association is a UK trade body that maintains Rules and Operating Principles that must be followed by all Member organisations to protect the interests of all their consumer and small business customers. The P2PFA publishes quarterly figures showing industry data and the cumulative lending. On April 1 2014, peer-to-peer lending became regulated by the Financial Conduct Authority. The P2PFA’s current membership includes: Funding Circle, Landbay, LendLoanInvest, Lending Works, Madiston LendInvest, MarketInvoice, RateSetter, ThinCats and Zopa.