Invoice finance & asset-based lending

Invoice finance (IF) & asset-based lending (ABL) products allow client businesses to access finance against what is often their most significant asset – the debtor book – as well as against a wider range of business assets. The diverse industry supports clients of all sizes, from start-ups to corporates, and provides particularly important support for small businesses.

Around 35,000 businesses across the UK are currently supported by UK Finance’s IF/ABL members. At any point in time, IF/ABL members will be advancing a total of over £20 billion to these client businesses.  This is broadly equivalent to around £120 billion of total funding provided per annum.  In 2023, members providing IF and ABL products supported client businesses with a combined turnover of over £316 billion.  According to the EU Federation for Factoring and Commercial Finance, across Europe in 2023 the industry supported client turnover to the value of almost €2.5 trillion.  

UK Finance’s IF/ABL members include the larger UK commercial banks, specialist, mid-tier and international banks, as well as a range of non-bank specialist finance providers. 

In addition to representing the industry through a single voice to advocate, influence and engage on behalf of members with policymakers, politicians and stakeholders, UK Finance supports members with education and expert insight. 

UK Finance also maintains an independent Standards Framework covering this important part of the commercial finance sector. This Framework sets out and enforces the standards that clients can expect from providers of invoice finance or asset-based lending that are members of UK Finance.

Key topics in this area