Twenty-three per cent of homeowners are worried about renewing their mortgage during the coronavirus pandemic, according to the results of a poll commissioned by Willow Private Finance.

The research suggested the proportion of those feeling less financially secure during COVID-19 rises to 63% among the self-employed.

Another 32% of homeowners said their income was less secure now compared to before the pandemic.

The findings, based on a study conducted by Yonder among 2,000 UK adults, showed that 12% of homeowners have taken a payment holiday on their mortgage during the COVID-19 crisis.

The government’s mortgage support scheme allowing people to take mortgage holidays comes to an end on 31 October. From next month, lenders can start repossessing homes of those who have been unable to pay, while those who have taken mortgage holidays will have their missed payments spread over the rest of the payment term, meaning larger payments from next month.

“This is a ticking time bomb waiting to explode,” said Willow Private Finance managing director, Wesley Ranger. “Millions of mortgage holders in Britain are up for renewal in the next 12 months with changed circumstances.

“On top of all the other fears at the moment they are having sleepless nights worrying if they will be able to renew or even pay their bill. We are calling on the industry to show leniency for people with changed circumstances and for the government to extend its mortgage support scheme with urgency.”

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