View more on these topics

Second charge mortgage lending continues growth in May

Second charge mortgage lending continued to grow by value and volume in May, on both a quarterly and yearly basis.

Figures from the Finance and Leasing Association found that the value of new business in the sector was £87m in May, up 26 per cent on the same month last year.

For the three months to May, lending was worth £259m, up 25 per cent on the previous year, while for the 12 months to May lending reached £917m, up 3 per cent on the same period the year before.

There were 20,016 new second charge agreements in the 12 months to May, up 2 per cent on the 12 months to May 2016.

FLA head of consumer and mortgage finance Fiona Hoyle says: “Second charge mortgage new business has ebbed and flowed over the past year, which was to be expected following the significant changes brought about by the market’s transfer into MCOB in March 2016.

“While the market is still in the bedding-in process, in the first five months of 2017 new business was up 12 per cent by value and 9 per cent by volume, and May witnessed the third consecutive month of growth.

“Customers are borrowing for a wide range of reasons, including renovating or extending their property.”



Secured Loans Watch: Spread the word on second charges

This product is better than it has ever been but, ironically, consumers are less aware of it. Brokers – over to you… A large proportion of the mortgage market has still not got to grips with second charges since the advent of the Mortgage Credit Directive. The sector has yet to reach anywhere near its […]

Chris Fairfax

Secured Loans Watch: Every second counts

If second charge lending is to break the £1bn mark, product diversification and more investment in automation are vital Second charge mortgage completions totalled £889m for the year ending 30 April 2017, which is a two percentage point increase from the previous year. Encouragingly, completions for April alone were £79m – 53 per cent higher […]


Second charge sector divided over growth plans

The second charge market is divided over plans for delivering much needed growth, with firms backing several possible solutions. The Mortgage Credit Directive was predicted to give the market a boost by bringing in rules whereby brokers must make customers aware of second charge loans as a remortgage alternative. The same regulation proved to be […]

US: mid-year review and outlook

By Felix Wintle, Manager of the Neptune US Opportunities Fund H1 2014 Economic data: after last year’s strength, economic data has disappointed. Indeed, the economy contracted 2.9 per cent in the first three months of the year — the US economy’s worst performance for five years. However, rather than a symptom of underlying economic weakness or […]

Health services

Challenges and opportunities

By Sarah Scott, marketing consultant On 22 February this year the charity Diabetes UK launched a fundraising initiative, #Swim22. They challenged individuals to swim 22 miles over the course of 89 days – a distance that equates to the width of the English Channel. Because of the time period the challenge is spread over, it […]


News and expert analysis straight to your inbox

Sign up