A total of 1.9 million mortgage payment holidays have been granted to struggling homeowners in the three months since the launch of the scheme, according to UK Finance.

The figure means one in six mortgages are now subject to a payment deferral and for the average mortgage holder, the payment deferral amounts to £755 per month of suspended payments.

UK Finance said the support has been “widely appreciated” by customers who were quick to take up the help on offer – after 1.2 million deferrals were approved during the first three weeks of the scheme.

The banking body highlighted that many homeowners will be coming to the end of the deferral period soon and that lenders are now focused on helping customers to consider their next steps.

The range of ongoing support available includes a further full or partial payment deferral, a move to interest only payments for a period, or extending the term of the mortgage to reduce payments, depending on the borrower’s circumstances.

UK Finance managing director personal finance, Eric Leenders, said: “Lenders understand that many households will continue to see their finances squeezed as the pandemic continues, and we are working hard to ensure everyone gets the support suited to their needs.

“The industry has a clear plan to help homeowners get through these tough times, and whilst it is best for customers to restart their payments if they can, where this is not possible lenders are keen to help, whatever a customer's financial situation.”

Customers who have not yet applied for a payment deferral and are experiencing financial difficulties due to coronavirus, as well as those requiring further support after an initial payment deferral, can still apply until 31 October 2020.

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