Greater criteria flexibility and faster speed to offer have emerged as the leading priorities for commercial brokers in 2026, according to Atom bank’s latest SME Pulse survey.
The quarterly poll, which captures the views of commercial brokers on market conditions and expectations, shows a clear shift in emphasis away from pricing alone and towards underwriting approach and delivery.
FLEXIBLE CRITERIA
Almost 80% of brokers surveyed for the Q4 2025 edition of the SME Pulse said greater flexibility of criteria was at the top of their wishlist for 2026. Improvements in speed to offer followed, cited by 67% of respondents, while 63% highlighted better interest rates or incentives. Improved communication was mentioned by 31%.
The findings suggest a marked change in sentiment compared with the previous year. When brokers were asked the same question 12 months earlier, pricing was by far the most popular response.
The latest results indicate that, as competition on rates has intensified, service and underwriting flexibility have come into sharper focus.
FACTORS
This shift is reflected in how brokers are selecting lenders for SME clients. Four in 10 respondents said flexibility of criteria is now the most important factor when placing a case, ahead of 36% who prioritised rate. Speed to offer and the relationship with the lender each attracted 11% of responses.
It is the first time since the SME Pulse launched that rate has not topped the list of decision-making factors. Taken together with brokers’ 2026 wishlist, the data points to a growing expectation that lenders will move beyond headline pricing and demonstrate a willingness to assess cases on their merits.
BROKER OPTIMISM AND SECTOR FOCUS
The survey also reveals a broadly positive outlook among intermediaries. More than half of brokers, 58%, described themselves as at least somewhat optimistic about the year ahead, with a further 11% saying they were very optimistic.
Nearly half, 46%, said their main focus in 2026 would be growing the volume of business they transact within a specific sector. Property and real estate was the most frequently identified area of opportunity.
Around 23% cited client retention as their principal priority, while 11% said lead generation would be their main focus.
The findings indicate that, while brokers are mindful of economic uncertainty, many are positioning themselves to capitalise on sector-specific demand rather than adopting a defensive stance.
SME APPETITE FOR FUNDING RISES
Encouragingly for lenders, brokers report rising confidence among SME clients. Some 61% of respondents said they had seen an increase in appetite for external funding, the highest proportion recorded since Q2 2024 and up sharply from 41% in the previous quarter.
No broker reported a decline in appetite among SME clients, marking the first time this has occurred since the SME Pulse was launched in Q3 2023.
Improving interest rates were identified by 70% of brokers as the principal driver of renewed appetite. Business confidence was also cited as a significant factor, with 47% pointing to rising confidence levels among SMEs, up from 27% in the previous survey.
Access to funding appears to have improved in parallel. Just 11% of brokers said they were currently finding it difficult to secure funding for clients, the lowest figure recorded in the history of the survey.
Against this backdrop, Atom bank has made changes to its business lending proposition, including rate reductions of up to 0.62% and the introduction of a discount for cases with a debt service coverage or interest coverage ratio of at least 200%.
Tom Renwick, head of business lending at Atom bank, said: “The Q4 SME Pulse reinforces what we’re seeing across our own pipeline – SMEs recognising opportunity and leaning into it, with brokers seeing a sustained appetite for external funding, despite complex economic conditions.
“Whether businesses paused decisions ahead of the Budget or are now responding to improving rate conditions, the underlying message is one of intent: SMEs want to invest, refinance and grow.
“What’s particularly encouraging is that this confidence is mirrored by brokers themselves. When intermediaries feel optimistic about their prospects, it’s usually because they can see real demand and real deals progressing.
“However, the survey also serves as a clear reminder that lenders have to earn that business. Price remains critical, but it’s not sufficient on its own.
“Brokers value lenders who provide certainty, clarity and a willingness to look at the fundamentals of a case rather than relying on rigid parameters.
“Lenders must deliver the combination of competitive pricing, greater speeds, and flexible criteria which ensures quality prospects do not fall between the cracks.”
