June: fall in mortgage lending

26 July 2010

According to figures from the British Bankers` Association (BBA), mortgage lending by the major UK banks fell in June, the BBC reports.

The number of mortgages approved for house purchase dropped to 34,813 in June, which was down from the 36,418 approved in May. This was the lowest level since February and lower than the average of the previous six months - which was 37,027.

Yet despite the drop in mortgage approvals during the month, net mortgage lending was still 4.1% higher than it was at the same time a year earlier.

Meanwhile, figures from the BBA showed that people continued to repay more of their unsecured debts than they spent on credit cards, personal loans and overdrafts - which means debt repayments have outstripped new borrowing by 2.7% over the past year.

Tags: mortgage, lending

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