The UK secured loan market in 2026 is served by roughly a dozen specialist lenders, all FCA-authorised. None of the major high-street banks (Lloyds, Barclays, NatWest, HSBC, Santander) offer second-charge mortgages directly. Borrowers either go through a specialist broker or apply directly to one of the small number of lenders that accept direct applications. This article lists the active lenders, what type of borrower each typically serves, and how their criteria differ. It is editorial information only; lender details and criteria change frequently, so always verify on the lender's website and on the FCA Register before acting.
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TL;DR How many lenders: roughly 10-15 active specialist UK second-charge lenders in 2026. How they segment: by credit profile (clean / near-prime / adverse), property type, LTV cap, and direct vs broker-only. How to access: most cases via a specialist broker; some lenders also accept direct applications. Verify before acting: every lender below is on the FCA Register; criteria and product availability change frequently. |
How to read this list
This is a factual capability matrix, not a ranking or recommendation. Lenders are grouped by the borrower segment they primarily serve. A given lender may serve multiple segments with different products. Combined LTV figures, rate ranges, and credit thresholds are indicative only; each lender publishes detailed criteria on their intermediary site, and brokers maintain live versions.
None of the figures below should be treated as quotes or offers. Verify product availability, rates, and criteria with the lender or a regulated broker before relying on any of them.
Mainstream / clean-credit second-charge lenders
These lenders price for borrowers with clean credit profiles, employed or established self-employed income, and standard freehold property. Combined LTV typically goes to 75-85 percent.
| Lender | Notes | Channel |
|---|---|---|
| Selina Finance | Digital-first proposition; AVM-eligible cases complete quickly; flexible drawdown facility on some products. selinafinance.co.uk | Broker and direct |
| United Trust Bank | Established specialist bank; broad criteria including some adverse credit; intermediary-led. utbank.co.uk | Broker only |
| Shawbrook Bank | Specialist bank serving prime, near-prime, and BTL second charges. shawbrook.co.uk | Broker only |
| Equifinance | Long-established specialist; consumer-friendly direct application route. equifinance.co.uk | Broker and direct |
Near-prime / adverse-credit second-charge lenders
These lenders accept defaults, CCJs, IVAs in some cases, and prior arrears. Rates are higher and combined LTV is typically capped tighter (often 70-75 percent for the heavier adverse profiles).
| Lender | Notes | Channel |
|---|---|---|
| Pepper Money | Specialist in near-prime and adverse; broad acceptance across credit profiles; intermediary-led with limited direct route. pepper.money | Broker only |
| Together Money | Wide criteria including heavier adverse, complex income, unusual property; one of the most flexible UK specialists. togethermoney.com | Broker only |
| Norton Home Loans | Specialist in adverse credit; long-running secured loan presence. nortonhomeloans.com | Broker only |
| Step One Finance | Adverse-credit second charges and consolidation focus. | Broker only |
| Spring Finance | Specialist in homeowner secured lending; adverse and complex cases. | Broker only |
BTL and limited company second-charge lenders
Buy-to-let second charges are a smaller, more specialised segment. Combined LTV is typically capped at 70-80 percent and rental income coverage ratios apply alongside personal affordability.
| Lender | Notes |
|---|---|
| Together Money | BTL second charges including HMO, holiday let, multi-unit blocks, and limited company structures. |
| Shawbrook Bank | BTL second charges for portfolio landlords; limited company applications considered. |
| United Trust Bank | BTL second charges with broad property type acceptance. |
| Selina Finance | BTL second charges on standard let property; tighter criteria than residential. |
How lenders' criteria differ in practice
The biggest differences between UK secured loan lenders are not headline rates but the underlying criteria.
| Criterion | What varies between lenders |
|---|---|
| Combined LTV cap | From 70% (conservative specialist) to 85% (mainstream second-charge); 90% rare and conditional |
| Minimum loan size | £5,000 to £25,000 |
| Maximum loan size | £250,000 (smaller specialists) up to £2 million+ (UTB, Shawbrook on prime cases) |
| Minimum property value | £75,000 typical; some lenders £100,000+ |
| Term | 3 to 30 years; some lenders 35 years on residential |
| Acceptable income types | Employed only (most); self-employed (most, with 1-3 years' accounts depending on lender); contractor (specialist); benefit income (small specialist segment) |
| Property type | Freehold house universal; flats above commercial restricted; ex-council varies; non-standard construction specialist only |
| Adverse credit thresholds | Wide variation. See "near-prime" lenders above for criteria specifically built around adverse |
| First-charge lender exclusions | Some lenders won't postpone behind certain specialist first-charge lenders; broker checks this before applying |
How rates compare across the segment
Specialist second-charge rates in 2026 sit materially above first-charge mortgage rates because of the lender's junior position in the priority order. Within the segment, rates vary by:
- Credit profile. Clean credit pricing is meaningfully better than adverse credit pricing. The gap can be 2-4 percentage points.
- Combined LTV. Each lender has rate bands tied to LTV; 70 percent cases are priced better than 80 percent cases.
- Loan size. Larger loans (£100,000+) sometimes carry better headline rates because of fixed-cost economics.
- Product structure. Fixed-rate products usually carry a small premium over variable; longer fixed periods premium-priced.
Always look at the APRC (Annual Percentage Rate of Charge) rather than the headline rate. APRC includes fees and is the figure regulated by FCA disclosure rules under the Mortgage Credit Directive, set out in FCA MCOB 10A.
How to verify a lender before applying
- Check the lender on the FCA Register by firm name or FRN.
- Confirm the firm's permissions include "Entering into a regulated mortgage contract" or "Administering a regulated mortgage contract".
- Check the firm's status is "Authorised" not "Pending" or "Cancelled".
- Cross-check the website domain matches the registered name.
- For complaints, all FCA-authorised lenders provide access to the Financial Ombudsman Service.
Avoid any "lender" who cannot be located on the FCA Register, who pressures you to sign without a written illustration, or who asks for upfront fees before producing an offer document.
Primary sources
- FCA Register: register.fca.org.uk
- FCA Mortgage Conduct of Business handbook, MCOB 10A: handbook.fca.org.uk/handbook/MCOB/10A/
- Financial Ombudsman Service: financial-ombudsman.org.uk
- Financial Services Compensation Scheme: fscs.org.uk
- Finance and Leasing Association: fla.org.uk
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Disclaimer: This article is editorial information only and does not constitute financial advice or a recommendation of any specific lender or product. Lender details, criteria, and rates change frequently. Secured loans are regulated by the Financial Conduct Authority. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. Always consult an FCA-authorised mortgage broker or adviser for personalised guidance, and verify lender details on the FCA Register before making any decision. |
Frequently asked questions
Why don't high-street banks offer secured loans?
Major UK banks dropped second-charge lending after the 2008 financial crisis and have not returned in scale. The market is commercially less attractive at high-street volumes than first-charge mortgages, and the operational complexity of postponement, manual underwriting, and adverse credit cases is better suited to specialist lenders.
Can I apply to multiple lenders at once?
Technically yes, but multiple hard credit searches in a short period leave a footprint that worsens your application at later lenders. Most brokers run a single soft-search DIP at the most appropriate lender first, and only escalate to a second lender if the first declines or returns unsuitable terms.
Are direct applications cheaper than going through a broker?
Not necessarily. The lender's procuration fee to the broker is built into pricing; you don't usually save the equivalent by going direct. The broker fee, if charged separately, is the differential. For complex cases the broker fee is usually outweighed by access to the right lender; for very simple cases direct can work out marginally cheaper.
What if a lender on this list isn't accepting new applications?
The UK specialist lender market sees firms pause new lending periodically (funding cycles, criteria changes, staffing). A whole-of-market broker will tell you which lenders are actively writing on your case profile this week. Always check the lender's intermediary website or speak to a broker before relying on any specific lender.
Can I refinance from one second-charge lender to another?
Yes. The second charge with the new lender replaces the second charge with the previous lender, requiring a fresh deed of postponement from the first-charge lender and discharge of the old second charge. The process is similar in length to taking a new second charge.
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FIND AN FCA-AUTHORISED SECOND CHARGE BROKER A whole-of-market broker can match your case to the lender most likely to approve at the best terms, without you needing to read every lender's criteria sheet. The KFI directory lists FCA-authorised mortgage brokers across the UK, filterable by region and specialism. All firms shown are verified against the FCA Register at the time of listing. |