Second charge mortgage new business volumes up 15% in March

New figures released today by the Finance & Leasing Association (FLA) show that second charge mortgage new business grew 8% by value and 15% by volume in March, compared with the same month in 2016.

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

“The second charge mortgage market has faced significant change since transferring into the FCA’s mortgage regime in March 2016.

“The strong performance in March 2017 – the first month that new business volumes have grown since August 2016 – could be the early signs of a return to form for this important market.

“Second charge mortgages are a very useful product, with consumers taking them out  for a variety of reasons – including home improvements, or paying the deposit or removal costs for a son or daughter moving into their first home.”

Table 1: New second charge mortgage lending

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 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. For media queries, please contact the FLA press office on 020 7420 9656.