The volume of second charge mortgage new business grew by 59% in the year to February 2022, according to the latest figures from the Finance and Leasing Association (FLA).

The total number of new agreements in February was 2,660, worth £119m and equating to a 59% increase in value compared to the same month last year. 

The figure also represents an increase from the 2,116 new agreements, worth £91m in January. 

For the three months to February, 6,950 second charge new agreements were arranged, worth £309m. 

Figures were up for the 12-month period to February 2022, with 27,624 worth a total of £1,192m, which represents an increase of 72% in value compared to the previous 12 months.

Commenting on the latest new business figures for the second charge mortgage market, FLA director of consumer and mortgage finance and inclusion Fiona Hoyle says: “In February, the second charge mortgage market reported its highest monthly level of new business volumes for two years and has now returned to pre-pandemic levels of new business by both value and volume.”

“As consumers face higher prices and pressure on disposable incomes, any customer worried about meeting payments should speak to their lender as soon as possible to find a solution,” Hoyle adds.