Between October 2013 and March this year 148,200 loans were made to first-time buyers (source CML) of which 5,843 were advanced using the Help to Buy 2 scheme.

Of these, 342 were made to first-time buyers in London out of the 25,300 total loans advanced to first-time buyers in the capital during this period.

Simon Crone, Genworth vice president – mortgage insurance Europe, said: “These figures refute the notion that Help to Buy has flooded the market and show it delivering what it set out to achieve.

“What the scheme is doing, as a fraction of total first-time buyer activity, is offering hope to those who struggle to raise the average deposit but can still afford repayments and pass affordability checks.”

Instead the scheme has a wider positive impact on the overall availability of mortgage products above 90% loan-to-value, Moneyfacts data has revealed.

The 95% LTV range gained almost twice as many products as any other category and has grown at 15 times the rate of the next best performing range, 90% LTV.

Total products in the segments underpinned by Help to Buy – 85%, 90% and 95% LTV – have grown by 147 (16%) in the last year to 1,041.

Almost two in every three of these new products (90 – 61%) offer a maximum LTV of 95%.

And interest rates in the 95% LTV product bracket have been protected from the same rate rises seen in other catagories because of renewed competition at this end of the market.

The average two-year fixed rate at 75% LTV has risen by 16 basis points (bps) since January compared with 12bps at 90% LTV and 9bps at 95% LTV.

Crone said: “Competition in the high LTV market has limited price rises for 95% LTV products since the start of the year.

“While any change in the Bank of England base rate has implications for existing as well as new mortgage holders the Mortgage Market Review rules mean borrowers are only being accepted if they can cope with higher rates than we see today.”