Business owners are turning to second charge mortgages to raise capital as the Omicron variant disrupts industries across the UK, research published by Knowledge Bank has suggested.

The findings come from the latest Knowledge Bank criteria tracker which found brokers were searching for “capital raising for business purposes” in December.

While some of these searches may be connected to the disruption caused by staff having to isolate, Knowledge Bank suggested that there will be others using second charge mortgages for positive reasons, such as to make improvements or renovations to offices.

With the shift to working from home prevalent across industries, the findings could indicate that some businesses are reassessing their office needs and reorganising spaces to maximise efficiency.

Knowledge Bank’s criteria tracker shows the searches that brokers are conducting on behalf of their clients. In December, it showed that alongside raising money for business purposes, brokers were also searching for “capital raising for debt consolidation”. This provides further evidence that some individuals have struggled financially due to the disruption caused by the pandemic.

“By looking at the searches brokers conducted in December, it is clear many business owners were looking to use property to raise capital,” said Knowledge Bank operations director, Matthew Corker.

“These searches could indicate disruption caused by the pandemic is still harming a number of industries. However, the flip side is that some of these businesses may be using second charge mortgages to adapt and take advantage of opportunities.”

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