A survey of 119 developers found that 57% said their lender was not supportive with only 16% describing theirs as ‘very’ supportive.

As such, 23% of respondents said they have looked to specialist lenders for support in the last year.

Octane Capital also found 20% of developers had faced pressure from their lender, with the majority of this coming in the latter stages of a project.

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The main triggers for this pressure were cost overruns (20%), project delays (17%) and unfavourable market conditions such as higher interest rates and softer values (17%).

“Cost inflation, market uncertainty, and delays are part of the reality of development, but traditional lenders are often quick to apply pressure rather than work collaboratively,” said Jonathan Samuels, CEO at Octane Capital.

“This can leave projects at risk of stalling or being sold off prematurely.

“Specialist finance can provide a vital lifeline in these circumstances, offering the speed, flexibility, and partnership approach that developers need to overcome challenges and deliver homes.”