Second charge lending lifted 21% to £135m in March compared to the month before, according to Loans Warehouse.
The jump is “a clear sign that second charge lenders are feeling confident for the first time since the September 2022 mini-Budget”, says the firm’s Secured Loan Index, which reports data from lenders in the sector.
However, the March loan total is 6.5% down on a year ago, while first-quarter lending tumbled 16% below the first three months of last year.
Loan completions lifted 18% to 2,809 last month, while average completion times improved by just over half a day to 13.62 days.
The March figures show a 2% increase in high LTV lending, at 85% and over. The average lending term was 16-and-a-half years.
The most common reason for a loan was solely for debt consolidation, among 45.2% of borrowers, followed by debt consolidation and home improvement at 40.4%, and solely for home improvement at 10%.
Data from the index includes updates from Pepper Money, Tandem, United Trust Bank, Together, Norton Home Loans, Equifinance, Evolution Money, Loans Warehouse and Selina Finance.
