New business volumes in the second charge mortgage market fell 35 per cent in October on a yearly basis, says the Finance and Leasing Association.

There were 1,717 new agreements made in total during the month, meaning that in the 12 months to October, 18,388 total have been made – a fall of 33 per cent when measured annually.

Last month, the FLA released data showing that new business volumes fell by 40 per cent in September, meaning that, in the words of FLA head of consumer and mortgage finance Fiona Hoyle, “despite weaker consumer confidence, new business volumes in the second charge mortgage market continued to recover in October.”

The value of new business in October came to £68m, a 43 per cent drop on the previous year.

For the full year to October, the value of new business came to £800m, which is a 34 per cent fall on the previous year.

Hoyle continues: “In the ten months to October 2020, new business volumes in this market remained 41 per cent lower than in the same period in 2019.

“Lenders are continuing to do all they can to support customers during this challenging period. If customers are experiencing payment difficulties we encourage them to contact their lender as soon as possible.”