According to figures from the Finance & Leasing Association (FLA), new contract volumes for second mortgage loans increased by 27% in volume and 28% in value in November 2025.
In November, £203m of new contracts were agreed, up 28%, and 3,934 new deals were agreed in the month, up 27%.
In the three months to November there was £628m of new second line activity, comprising 11,958 loans.
£2.09 billion of new second-line contracts were written in the year to November, up 23%, with 40,886 loans, up 16%.
FLA director of consumer and mortgage finance and inclusion Fiona Hoyle said: “The second mortgage market has reported growth in new business volumes in all but one month so far in 2025 and is ending the year as strong as it started.
“The share of new contract volumes dedicated exclusively to the consolidation of existing loans decreased in November compared to the previous month to 58%. Another 22.4% was for home improvements and loan consolidation, and 10.8% exclusively for home improvements.”
Previous FLA figures for October showed the value of second mortgage loans increase by 32% year on year to £223 million.
The volume of second charge credits was 22% higher on an annual basis, at 4,238.