According to figures from the Finance & Leasing Association (FLA), the value of new second charge business rose by 7% year-on-year in April to £148m.
In the three months to April, the value of second charge new business came to £471m, while the number of new agreements came to 9,396, a rise of 8% compared to the same period last year.
Looking at the 12 months to April 2025, the value of new second charge business came to £1.83bn, an uptick of 24% year-on-year.
The number of new second charge agreements for the 12 months to April 2025 increased by 16% year-on-year to 36,983.
Fiona Hoyle, director of consumer and mortgage finance and inclusion at the FLA, said: “April saw the second charge mortgage market report its first fall in new business volumes since November 2023 as consumer confidence about the economic outlook dipped. In the first four months of 2025, new business volumes were 12% higher than in the same period in 2024.
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“The distribution of new business by purpose of loan in April 2025 showed that the proportion of new agreements [that] were for the consolidation of existing loans was 55%; for home improvements and the consolidation of existing loans was 24.1%; and for home improvements only was 13.3%.
“As always, customers who are concerned about meeting payments should speak to their lender as soon as possible to find a solution.”
