Second charge mortgage increased by 17% in February

New figures released by the Finance & Leasing Association (FLA) second charge mortgage new business volumes grew by 17% in February 2024.

Commenting on the latest new business figures for the second charge mortgage market, Fiona Hoyle, Director of Consumer & Mortgage Finance and Inclusion at the Finance & Leasing Association (FLA), said “The second charge mortgage market has made a positive start to 2024 as new business volumes increased by 10% in the first two months of this year compared with the same period in 2023. In the twelve months to February 2024, new business volumes were 8% lower than in the same period in 2023.

“The distribution by purpose of loan in February 2024 showed that 60% of new agreements were for the consolidation of existing loans, 13% for home improvements, and a further 23% for both loan consolidation and home improvements.

“As always, customers who are concerned about meeting payments should speak to their lender as soon as possible to find a solution.”

New second charge mortgage lending

	Feb 2024	%  change on prev. year	3 months to Feb 2024	% change on prev. year	12 months to Feb 2024	% change on prev. year
Value of new business (£m)	130	22	339	10	1,415	-9
Number of new agreements (No.)	2,819	17	7,331	8	30,935	-8