Second charge mortgage lending fell by 15% in August compared to the same period last year, new figures from the Finance & Leasing Association (FLA) reveals.

However, this figure is still above the average for 2023 so far, the FLA says.

Overall, in August, 2,704 new agreements were signed, 15% lower than 12 months ago.

In the last quarter 8,321 agreements were signed – a 9% decline compared to the same quarter last year.

Over the past year, 31,662 new agreements were signed, down 2% compared to the previous 12 months.

The FLA’s director of consumer & mortgage finance and inclusion, Fiona Hoyle, says: “The distribution by purpose of loan in August remained stable with 59% of new agreements for the consolidation of existing loans, 12% for home improvements, and a further 24% for both loan consolidation and home improvements.

“As always, customers who are concerned about meeting payments should speak to their lender as soon as possible to find a solution.”