The second charge market increased by 15 per cent between September and October, according to research collected by the Finance and Leasing Association.

The data shows that lenders agreed a total of 2,658 mortgages in October, equating to £118m of new business. This represents an increase on September of 15 per cent and 14 per cent, respectably.

In the year to October 2019, the total value of new business equated to £1.2bn. This is up 17 per cent on the previous year, says the firm.

Furthermore, the total number of new agreements in the year to October 2019 rose by 20 per cent to 27,431.

Finance & Leasing Association head of consumer and mortgage finance Fiona Hoyle says: “The second charge mortgage market has reported strong new business growth in 2019, with volumes likely to reach over 28,000 in the year as a whole.

“The market is expected to continue to grow in 2020 but at a slower pace than in 2019.”