Cambridge & Counties Bank agrees £150m funding deal with Assetz Capital

Cambridge & Counties Bank has agreed to provide up to £150 million in funding to Manchester-based Assetz Capital, marking the bank’s first large-scale partnership to support UK SME housebuilding finance.

The facility will enable Assetz Capital – one of the UK’s largest specialist lenders to SME property developers – to expand the deployment of residential development loans at a time of heightened pressure on the housing sector and rising demand for new homes.

Since its launch in 2013, Assetz Capital has delivered more than £1.7 billion in property-secured lending and supported the construction of 7,700 homes, accounting for roughly one in every 12 homes built annually by SME housebuilders in recent years.

The new partnership broadens the institutional capital available on the Assetz Capital platform and boosts its ability to fund SME developers, an area where access to finance is becoming increasingly challenging. According to the Home Builders Federation, the proportion of developers citing finance as a major barrier has risen from 33% to 39% over the past year.

Sarah Barker, Chief Commercial Officer at Cambridge & Counties Bank, said the deal represents a strategic milestone.

“This facility is a first for Cambridge & Counties as we look to expand our support for the UK property market. Assetz Capital’s disciplined underwriting and track record of delivery make them an ideal partner to help us scale our impact in this critical sector,” she said.

Assetz Capital CEO Stuart Law said the partnership strengthens the platform’s long-term capacity.

“This is another major endorsement of the quality, scale, and stability of the platform we’ve built,” he said. “Borrowers will now benefit from an even deeper and diverse institutionally funded marketplace with a full product suite for all property-backed transactions.”

The funding line is expected to support SME developers from early-stage projects through to larger-scale housebuilding, helping increase the supply of new homes across the UK.