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Second-charge mortgage repossessions fall by 50% in Q1 2017

11 May 2017

New figures released today by the Finance & Leasing Association (FLA) show that the number of second-charge mortgage repossessions in Q1 2017 was 17 – down by 50% compared with the same quarter in 2016.

Commenting on the figures, Fiona Hoyle, Head of Consumer and Mortgage Finance at the FLA, said:

“The number of second-charge mortgage repossessions fell again in the first three months of this year, as lenders continued to support customers experiencing repayment difficulties.

“Together with the UK Cards Association and the University of Bristol, the FLA has launched Vulnerability: A Guide for Debt Collection, which sets out best practice for ensuring customers get prompt and practical help when they need it most.”

Table 1:  The number of actual properties taken into possession by FLA second charge mortgage providers1

 

 Time period

 

Number of possessions in the quarter

 

 

% change on the same quarter in the  previous year

 

Annual total

 

% change on the previous year

 

 

 

 

2008 Total

 

2009 Total

 

2010 Total

 

2011 Total

 

2012 Total

 

Q1 2013

Q2 2013

Q3 2013

Q4 2013

 

Q1 2014

Q2 2014

Q3 2014

Q4 2014

 

Q1 2015

Q2 2015

Q3 2015

Q4 2015

 

Q1 2016

Q2 2016

Q3 2016

Q4 2016

 

Q1 2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

226

183

144

123

 

128

133

107

79

 

72

67

56

33

 

34

40

31

39

 

17

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

49.7%2

31.7%2

-11.7%2

-29.7%2

 

-43.4%

-27.3%

-25.7%

-35.8%

 

-43.8%

-49.6%

-47.7%

-58.2%

 

-52.8%

-40.3%

-44.6%

18.2%

 

-50.0%

 

 

 

 

1,612

 

1,467

 

864

 

827

 

6282

 

 

 

 

676

 

 

 

 

447

 

 

 

 

228

 

 

 

 

144

 

 

 

 

 

 

 

-9.0%

 

-41.1%

 

-4.3%

 

-24.1%2

 

 

 

 

 7.6%2

 

 

 

 

 -33.9%

 

 

 

 

 -49.0%

 

 

 

 

 36.8%

 

 –

 

  1. Possession proceedings arising from FLA members’ second charge mortgage books, which have led to actual possession by the second mortgage provider.
  2. There were changes to the sample in Q1 2012 and Q1 2013 due to changes in FLA membership.

Notes to Editors

  1. FLA members in the consumer finance sector include banks, credit card providers, store card providers, second-charge mortgage lenders, motor finance providers, personal loan and instalment credit providers.
  2. In 2016, FLA members provided £118 billion of new finance to UK businesses and households. £88 billion of this was in the form of consumer credit, representing over a third of total new consumer credit written in the UK in 2016.
  3. Vulnerability: a guide for debt collection has been financed by the FLA and The UK Cards Association.
  4. The guide can be downloaded from the FLA, The UK Cards Association, and the Personal Finance Research Centre.