Second charge mortgage new business lending falls by 15%

New figures released by the Finance & Leasing Association (FLA) show that second charge mortgage new business volumes fell by 15% in August 2023.

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 level of new business volumes reported by the second charge mortgage market in August was 15% lower than in the same month in 2022 but was above the monthly average in 2023 so far.  The distribution by purpose of loan in August remained stable with 59% of new agreements for the consolidation of existing loans, 12% for home improvements, and a further 24% 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

	Aug 2023	%  change on prev. year	3 months to Aug 2023	% change on prev. year	12 months to Aug 2023	% change on prev. year
Value of new business (£m)	120	-22	381	-11	1,450	-1
Number of new agreements (No.)	2,704	-15	8,321	-9	31,662	-2