‘Uncertainty brings opportunity, the lenders who adapt fastest will win’

By Tony Sanchez 24th November 2025

In our latest Five Minute Interview, Tony Sanchez speaks to Caroline Luxmore, Chief Commercial Officer at Recognise Bank.

Caroline has worked in banking for more than 25 years, most of that time spent in specialist lending and commercial finance.

As Chief Commercial Officer at Recognise Bank, she leads the Bank’s lending and deposits strategy, covering bridging and SME finance. She focuses on helping small and medium-sized businesses and property professionals access funding that actually works for them.

She is known for her practical approach, sense of humour and belief that good lending always starts with understanding people.

What is the best thing about being in the bridging and development finance business?

There are so many good things, honestly. The best bit for me is the variety, and that means you are constantly learning. It is satisfying to know you are genuinely helping someone achieve something, whether it is a property purchase, a refurbishment, or a business goal.

It is also the people. The brokers, the teams you work with day in, day out, the lawyers, valuers, everyone in between, it feels like its own little community.

There is competition, of course, but it is healthy. Everyone is trying to deliver good outcomes for customers, not just chase rates.

You do not really see that in every market, and it is one of the reasons why I have stayed. It is just a really nice industry to be part of, decent people, decent purpose, and a real sense of doing something worthwhile.

What keeps you focused?

The customer is always the constant. Making sure the proposition we are offering actually works for them, that it solves a real problem, not a theoretical one.

I am always asking myself, are we building the right products for the right market? Are we thinking far enough ahead? Because the market does not stand still. Regulation changes, technology moves on, and customer needs shift faster than you think. You have got to stay on your toes.

Being honest, I love the SME space. These are the businesses that keep the economy moving, they employ people, pay their taxes, and take risks.

Helping them grow feels like giving something back. Of course, we’re here to build a successful business of our own, but we’re also here to make a difference and keep such a critical part of our economy growing from strength to strength. It’s that balance that keeps me going.

What qualities do you look for in your employees or colleagues?

A can-do attitude every time. People who roll up their sleeves, dig into the detail, and do not give up until they have found the right solution, not just the easy one.

I also really value collaboration. Good communication, proper teamwork, and a willingness to pick up the phone rather than fire off an email.

This industry is built on relationships, with brokers, valuers, lawyers, and of course our own colleagues. You need people who can work well with everyone.

When you get that right, everything else falls into place.

Are you an optimist or a pessimist?

Oh, always an optimist. Definitely glass half full and probably asking for a top up.

Every market cycle brings its own headaches, but I have been around long enough to know there is always opportunity hiding somewhere. Even now, with everything going on, inflation, regulation and world events, people still need homes, businesses still need finance, and that means there is work to do.

You cannot sit still, and challenges make you think harder, get creative, and do better. If you lose that positive outlook in this industry, then you are in trouble.

What did you want to be as a child?

Oh goodness, it changed weekly. At one point a doctor, at another point a hairdresser. I do not think anyone would trust me with their life or their hair, to be fair.

But I do think it is important for kids to dream and to try things. I never set out to work in banking, but it turned out to be exactly the right fit for me. I would love to see more young people come into our industry. There is so much knowledge to pass on, and most of us are more than happy to share it.

And while everyone is talking about AI, and yes, it has its place, I would like to think there will always be room for good human communication, quick thinking, and empathy. The personal element still matters.

What will be the greatest challenge facing the bridging and development finance industry in the coming months?

Uncertainty, without question. Economic uncertainty, regulatory uncertainty, take your pick. When you are operating in a regulated market, trying to plan ahead while the goalposts keep moving is no small task.

That said, uncertainty also brings opportunity. The lenders who can react quickly, adapt products, and move faster than the rest will come out stronger. For us, that is where being a smaller, more agile bank helps.

There are also some practical challenges on the horizon, things like capital rules, tax changes, and the EPC requirements for landlords. None of them are simple, and together they make decision making harder. Landlords and developers are having to juggle priorities, do they invest in improving properties, restructure their businesses, or hold fire? It is a balancing act.

But as ever, those who plan smartly and stay flexible will find the opportunities. They always do.

Who or what makes you laugh?

Usually myself, if I am honest. You have to. If you cannot laugh at yourself in this business, then you will never survive.

Do you dread Monday mornings?

No, never. I am one of those people who just gets up and gets on with it. Every day brings something new, and if a task does not get done on Monday, well, it will still be there on Tuesday.

If you could change one thing about yourself, what would it be?

Like everyone else, I would stop the ageing process, if I could. But then again, I suppose the grey hair proves I have picked up a bit of wisdom along the way. It is what makes me well placed to do what I do now.