ThinCats reports year-on-year rise in lending

ThinCats has announced a year-on-year increase in lending for 2025, providing £348 million in funding to businesses across the UK over the past 12 months. The figure represents modest growth on its 2024 origination total of £335 million and marks continued momentum for the alternative finance provider despite a challenging economic backdrop.

The company said it experienced a notable uptick in borrowing activity across several resilient sectors, including IT and telecoms, healthcare, and professional and financial services. Demand also rose for private-equity-backed sponsored deals, contributing to the overall uplift in lending volumes.

According to Experian data, ThinCats maintained its position as the UK’s leading alternative debt provider for M&A funding by volume, even as broader market uncertainty and political headwinds dampened dealmaking, particularly among owner-managed businesses.

The latest figures mean ThinCats has now lent more than £2.3 billion to UK businesses since its inception, with £700 million in assets under management. The lender was acquired by Shawbrook Bank in October 2025 but continues to operate under its own brand.

“Despite the broad continued caution and a wait-and-see approach in the market, there are clearly still businesses that are looking to grow. Across lending in the lower mid-market over the past couple of years, we’ve seen a reduction in the number of deals, but the value has increased.

“Unsurprisingly, some sectors are subdued like retail, leisure and hospitality – but there are outliers in this space. However, our lending numbers show there are still deals to be done. There continues to be strong demand in business services like IT, telecoms, software providers as well as in healthcare.”