Specialist lender seeks court protection as it addresses restricted access to banking facilities
Market Financial Solutions (MFS) has applied to the court to enter administration after a procedural issue with its main banking provider led to a temporary restriction on access to its day‑to‑day banking facilities.
The specialist property finance lender said the step is intended to ring‑fence its operations and protect staff, investors and other stakeholders while the situation with its banking arrangements is addressed under the supervision of the court.
The board stressed that the business remains asset‑backed and operational, but concluded that administration offers the most orderly mechanism to preserve value, maintain loan servicing and provide stability while independent office‑holders oversee the process.
Founded in 2006, MFS has been active in the specialist property finance market for almost 20 years. Over its lifetime, the firm said it has originated more than £1.2 billion in cumulative lending, with its loan book reaching around £2.4 billion at its peak.
“This is an extremely difficult moment for everyone connected with Market Financial Solutions,” said Paresh Raja (pictured top), founder of Market Financial Solutions Limited. “As a family-founded business that has been built over nearly 20 years, this is not a decision that has been taken lightly.
“The current situation does not reflect a failure of the underlying business or the quality of our assets, but rather a technical and procedural impasse that has temporarily limited our access to everyday banking facilities.
“My priority is, and always has been, the people behind this business – our staff, our investors and our creditors. Entering administration allows the company to be protected while we work openly and cooperatively with the joint administrators to find a way forward. I remain fully committed to preserving value and doing everything possible to support a positive outcome for all stakeholders.”
The move has also drawn comment from within the specialist lending community, where MFS has been a long‑standing participant and intermediary partner.
“Our immediate thoughts are with the team at Market Financial Solutions, as well as the many brokers and borrowers who have built long-standing relationships with the firm over nearly two decades,” said Adam Tyler (pictured right), chief executive of the Bridging & Development Lenders Association (BDLA).
“Market Financial Solutions has been a prominent and active participant in our sector, and we are encouraged by the management team’s proactive steps to seek a structured environment through administration to protect the business’s assets and ensure the continuity of loan management and servicing.”
Tyler also underlined that the case should be viewed in the context of wider market conditions rather than as a signal of systemic weakness.
“The specialist lending sector remains robust, well-capitalised, and continues to provide vital liquidity to the UK property market,” he said. “While any instance of a lender entering administration is significant, it is important to distinguish between a systemic industry issue and a specific operational challenge.”
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