FCA to regulate peer-to-peer lending firms
Crowd-funding and peer-to-peer lending platforms will face regulation by the Financial Conduct Authority (FCA) from April.
Under new the rules, entrepreneurs will have to give clearer information when they seek to raise funds.
Founder of peer-to-peer lending platform Funding Circle James Meekings said the key to the industry was supplying loans at speed- as quickly as two weeks.
He said regulation was inevitable, considering "£12bn a year" could go through the industry.