New lending rose to £214 million in the month, while new second charge agreements rose 27% to 3,904.

FLA director of research and chief economist Geraldine Kilkelly said: “The second charge mortgage market reported robust new business growth in February, with new business by value reaching its highest February level since 2008.

“By providing a secured alternative to higher cost unsecured borrowing, second charge mortgages are proving popular with households as they help to manage affordability pressures while maintaining financial stability.

“The UK economy now faces a more challenging outlook, as the conflict in the Middle East is likely to weigh on activity, confidence and financial conditions. In this environment, the second charge mortgage market will continue to play an important role in supporting household budgeting, while affordability considerations and wider uncertainty shape the pace of growth in the months ahead.”