While it may seem incongruous to think of the wealthy securing loans against treasured possessions, tangible assets – fine art in particular - are increasingly being used to secure finance, while average loan sizes are also trending upwards, according to borro, the London-based personal asset lender.

Since last year borro has seen a 21.7 per cent increase in the loan value of art, with the average loan value now standing at £13,000 ($20,700). Some big-name pieces are being pledged by users of borro’s services, and its vaults are home to Damian Hurst, Henry Moore and Andy Warhol pieces.

“We have seen an increasing number of high net worth individuals and small business owners lending against fine art amongst other assets for liquidity," said Paul Aitken, chief executive of borro, adding that the vast majority of its clients do redeem their assets. 

Targeting those who want faster finance than is possible with traditional routes, or who don’t want to secure loans against their property, borro offers loans up to £1,000,000 against assets such as fine art, antiques, prestige cars, luxury watches, diamond jewellery, gold, yachts and fine wine. The firm was launched in 2008.