Second charge mortgage new business volumes grew by 36% in April 2024

6 June 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 seen new business grow in each month of 2024 so far after a subdued performance throughout much of 2023.  In the twelve months to April 2024, new business by both value and volume remained 3% lower than in the same period in 2023. 

“The distribution of new business by purpose of loan in April 2024 showed that the proportion of new agreements which were for the consolidation of existing loans was 58.0%; for home improvements and the consolidation of existing loans was 23.9% and for home improvements only was 13.1%. 

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

Table 1: New second charge mortgage lending

 

Apr 2024

%

 change on prev. year

3 months to Apr 2024

% change on prev. year

12 months to Apr 2024

% change on prev. year

Value of new business (£m)

138

40

405

23

1,468

-3

Number of new agreements (No.)

2,967

36

8,680

18

31,867

-3

 Note 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 2023, FLA members provided £151 billion of new finance to UK businesses and households. £113 billion of this was in the form of consumer credit, representing almost a third of total new consumer credit written in the UK in 2023.
  3. For media enquiries, please contact the FLA press office on 020 7420 9656.

 

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