Analysts are no longer confident that alternative players will disrupt the SME lending space as once thought. Still, others remain sure the sector is doing just fine. Amid all the chatter, PYMNTS takes a look at cold, hard data to assess whether alternative SME finance is in trouble or not.

More than $109 million was invested in alternative lending by state-owned British Business Bank (BBB), according to reports last week. The use of U.K. taxpayer money to invest in alternative lending suggests the BBB is confident in the success of the sector — despite a report released by the Financial Conduct Authority earlier this month that found potential lapses in investor protections among alternative lending players. According to reports, the BBB invested nearly $75 million in Funding Circle, nearly $19 million in MarketInvoice and about $12.5 million in RateSetter, according to documents obtained by Business Insider. The U.K. has also recently introduced legislation that requires traditional banks to refer SMEs to alternative lenders should they be rejected for a bank loan.