Second charge volumes fall 13% in October: FLA

In its recent figures the body reported that the value of new second charge lending in October was £122 million - down £15 million on the same month in the previous year. The number of new loans agreed was down by 13%, with 2,627 new agreements made in October 2023.

Fiona Hoyle, director of consumer & mortgage finance and inclusion at the Finance & Leasing Association (FLA), said:

“Recent trends in the second charge mortgage market reflect a strong performance last year that has not been sustained during 2023 and the subdued economic outlook. The distribution by purpose of loan in October showed that 61% of new agreements were for the consolidation of existing loans, 12% for home improvements, and a further 23% for both loan consolidation and home improvements.”