The number of new second charge mortgage agreements fell 69 per cent in April 2020 on an annual basis, says the Finance & Leasing Association.

There were 685 new agreements made in total during the month, with a new business value of £32m, itself a 68 per cent drop on the year.

In the three months to April there was a 23 per cent fall in new agreements, equating to 5,170, with a value of £232m, a 24 per cent drop.

However, positive figures can be seen in the 12 months to April. Here, 26,659 new agreements equated to a 6 per cent change over that time frame, and the value of new business, at £1.2bn, a 6 per cent in value, too.

FLA head of consumer and mortgage finance Fiona Hoyle says: “The second charge mortgage market continued to suffer from the closure of the housing market during the lockdown in April.

“As restrictions are lifted, FLA’s second charge mortgage members are ready to support new demand and continue to provide the necessary forbearance customers require.”