Second charge lending hit pre-pandemic daily levels in May as the country emerges from the year-long battle against Covid-19.
At the height of the pandemic in May 2020 just £21,000 of lending was recorded by the FLA – the lowest on record according to the Loans Warehouse Secured Loans Index.
A year later, in May 2021, the second charge lending level totalled £90m.
According to Matthew Tristan, managing director of LoansWarehouse.co.uk, this is lower that the post-pandemic high, but that is a result of it being a shorter month.
He said: “That’s comparing a 23-day month to a 19-day month, and had May been a 23-day month, new lending would have passed £109m.
“These figures show that lending increased 15% month-on-month and also highlight an incredible 76% record breaking year-on-year increase.”
During the month, the number of completions increased by 264 when compared to April and was the third consecutive month of completions above 2,000.
Year to date, £390m in second charges have been recorded, Loans Warehouse figures showed.