Up to £17bn of UK debt sale deals are expected to close by the end of this year as lenders accelerate the disposal of non-performing loans, according to accountancy firm KPMG.

The figure follows on from £8bn of deals progressed in the third quarter of this year and signals the end of an impasse between debt sellers and purchasers, the firm said. The findings were announced in the KPMG’s second Global Debt Sales report, which attributed the turnaround to a combination of lenders desire to offload non-performing loans in the face of tougher regulatory and economic conditions, matched by increased interest from investors in purchasing these loans.

Graham Martin, partner and co-head of KPMG’s portfolio solutions group, said: “On the buy side, we are starting to see a serious number of strategic and financial purchasers actively pursuing and acquiring many of the non-core loan portfolios currently in the market. Most active of late have been many of the private equity funds who have recently seen...Read more here--> Debt sales to reach £17bn this year