There was a 293% annual rise in second charge new business volumes in May, says the Finance and Leasing Association (FLA).

In total, there were 1,910 new agreements made in that month at a value of £84m – this latter total being 309% higher than recorded in May 2020.

In the three months to May 2021, the FLA reports 5,848 new agreements made, an 82% rise on last year at a value of £253m, growth of 74%.

In the 12 months to May, however, a total of 18,044 new business agreements equates to a 27% drop and the value of £784m is 33% lower.

FLA director of consumer and mortgage finance and inclusion Fiona Hoyle says: “The second charge mortgage market reported a second consecutive month of growth in May, and new business volumes increased by 12% in the first five months of 2021.

“The improvement in consumer confidence means the market expects to see the recovery in new business continue during the second half of 2021.”