Maven Capital Partners, the UK lower-mid cap firm, has led a £2.8m (€3.17m) investment in peer-to-peer (P2P) finance platform Lending Works.

Maven’s participation will be £2m (€2.26m), with £800,000 from NVM Private Equity, Pollen Street Capital and a number of angel investors also included in the total deal value.

NVM first invested in Lending Works in 2016, when it provided £2m.

The latest funding will be used to strengthen Lending Works’ sales and marketing function and to support the business’s continued growth.

Lending Works has become one of the UK’s fastest-growing P2P consumer lending platforms, connecting private and institutional lenders to both corporate borrowers and individuals.

Founded in 2014 by Nick Harding and Matt Powell, it has lent £115m to date, £32m of which was distributed in the first half of 2018.

The company was the first major P2P platform to be fully authorised by the FCA and the first to be granted the ability to provide an ISA offering.

Lending Works hopes to take an increasingly large share of the UK’s alternative finance market, which has been growing rapidly alongside the global market since the financial crisis.

Overall, the value of the P2P finance market is expected to reach $150bn or more by 2025.

“Lending Works has developed a reputation in the market of being a responsible and ethical P2P market leader,” said Maven investment director, Melanie Goward.

“The experienced management team, assembled and led by Nick and Matt, has a clear and executable strategy and we look forward to helping them deliver this in the coming years.”