Paragon marks 30th anniversary of BTL

Paragon has celebrated 30 years in BTL lending.

BTL products were first launched at a press conference in London in September 1996.

Products were available the following month, Paragon said it was one of the first lenders to offer them.

To mark this milestone, Paragon has produced a report called ‘30 Years of BTL’, looking into the growth of the sector with data from sources such as UK Finance and the government.

The BTL market now comprises 1.92 million outstanding loans worth £311.6bn, with annual lending reaching £40.3bn in 2025 alone.

This represents a fifth of total outstanding mortgage balances.

BTL lending has funded a private rented sector that has grown from fewer than two million households in England to almost five million, accounting for almost one in five homes.

"Paragon's analysis shows just how much the market has evolved over the past three decades,” said Louisa Sedgwick, managing director of mortgages at Paragon Bank (pictured above).

“Landlords have adapted to changing economic conditions, taxation and regulation, becoming increasingly strategic in the way they manage their portfolios and approach long-term investment.

"Many landlords now operate their portfolios as businesses, taking a long-term view of investment and responding to changing tenant expectations, housing standards and regulation.

“The result is a market that is more professional and commercially focused than when BTL first emerged."