Mortgage News
Seconds market produces strong growth year-on-year
Second charge lending grew by 27% in the 12 months to January taking the value of secured loans for the period to £603m.
Figures released by the Finance and Leasing Association (FLA), reflected a positive picture for the seconds market with £51m of lending in the month of January, a 13% year-on-year rise.
In the three months to January the sector lent £150m of second charges representing a 19% increase on the same period in the previous year.
Seconds performed better than any other areas of consumer credit. Car finance lending grew by 17%, while retail store and online credit rose 6% in the 12 months to January.
But the performance of the credit card and personal loan sector of the market failed to keep pace with just a 2% rise in lending.
Geraldine Kilkelly, head of research and chief economist at the FLA, said: “FLA’s consumer finance sectors reported a relatively quiet start to 2015, but our latest research suggests that UK gross consumer credit will grow by about 7% in 2015 as a whole.”
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