Mortgage lending down in January: BoE

Published on

Total net lending to individuals rose by £2.0 billion in January, according the Bank of England. The 12-month growth rate ticked up to 0.8%. The three-month annualised growth rate was 1.3%, a 0.4 percentage point increase from a revised 0.9% for December.

The number of loan approvals for house purchase (48,198) was lower than the December figure (58,223) and below the previous six-month average (55,924) approvals for remortgaging (23,611) and for other purposes (23,035) were also lower than in December and lower than their respective six-month averages.

Net lending secured on dwellings increased by £1.5 billion, above the December increase of £1.2 billion and the previous six-month average of £1.0 billion. The 12-month growth rate ticked up to 1.0%, from 0.9% in December. The three-month annualised growth rate rose to 1.4%.

Consumer credit increased by £0.5 billion, above the previous six-month average of a net repayment of £0.2 billion, and also above December’s net increase of £0.3 billion. Credit card lending increased by £0.2 billion and other loans and advances increased by £0.3 billion. The annual growth rate of consumer credit was less negative at -0.2% the three-month annualised growth rate increased to 0.7%.

RICS chief economist Simon Rubinsohn said: “Today’s numbers from the Bank of England provide confirmation that mortgage lending activity took a tumble in January. The number of mortgages approved was the lowest since May last year. The ending of the stamp duty holiday on properties valued between £125

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Hope Capital strengthens portfolio management with new servicing division and internal promotion

Hope Capital has overhauled its portfolio management operation with the launch of a dedicated...

SortRefer relaunches summer broker competition

SortRefer has confirmed the return of its summer initiative, ‘Show Us Your Merch’, following...

Access FS launches new mentoring scheme

Access Financial Services has formally launched a new mentoring programme designed to support recently...

Novium adds L&G’s critical illness cover to sourcing platform

Advisers using Novium’s protection sourcing platform can now quote Legal & General’s critical illness...

Market Harborough broadens tier two mortgage criteria to boost complex case lending

Market Harborough Building Society has introduced a series of criteria enhancements to its tier...

Latest publication

Latest opinions

Job cuts to inflation shock: preparing for a mortgage arrears crisis

The latest data on jobs paints a picture of a rapidly weakening labour market. The...

URGENT! AI Is coming for you. Or maybe not…

I’ll try to make this as straight to the point as I can. The...

Mind the gap: Can mortgage advice change the game for protection?

Many industry insiders still talk about the UK protection gap and how vast it...

Navigating HMO and MUFB complexity with confidence

Historically, larger Houses in Multiple Occupation (HMOs) and Multi-Unit Freehold Blocks (MUFBs) have often...

Other news

Hope Capital strengthens portfolio management with new servicing division and internal promotion

Hope Capital has overhauled its portfolio management operation with the launch of a dedicated...

SortRefer relaunches summer broker competition

SortRefer has confirmed the return of its summer initiative, ‘Show Us Your Merch’, following...

Access FS launches new mentoring scheme

Access Financial Services has formally launched a new mentoring programme designed to support recently...