Second charge lending at highest level since 2008: FLA

Second charge mortgage new business volumes grew by 15% in July to 3,863 deals, according to the latest figures from the Finance & Leasing Association (FLA).

By value, second charge lending grew by 23% compared to July 2024. The value of new lending totalled £201m, the highest level seen since June 2008.

In the three months to July, lending grew 14% by number and 20% by value compared to the same quarter last year.

On an annual basis, lending is up 16% by volume and 24% by value compared to the previous 12 months.

Fiona Hoyle, director of consumer & mortgage finance and inclusion at the FLA, said: “The second charge mortgage market continued to strengthen in July with monthly new business by value reaching its highest level since June 2008. In the seven months to July 2025, new business volumes were 13% higher than in the same period in 2024.

“The proportion of new business volumes which were totally or in part for the consolidation of existing loans remained stable at 81% in the seven months to July 2025, similar to the same period in 2024."