Gross mortgage lending has fallen by £4bn between August and September, but remains higher than the same period in 2006, according to the Council of Mortgage Lenders (CML).
The CML says it is normal to observe a fall in lending between August and September, but says the fall is much higher than usual, due to a combination of high interest rates and stricter lending criteria. Lending fell 12%, to just under £30bn, in September, 2.5% higher than the £29.2bn seen a year ago; the smallest annual increase for two years. Lending usually falls by around 5% between August and September, according to the CML, but has fallen considerably this year due to a flurry of interest rate rises and problems in the banking sector caused by the global credit crunch. Michael Coo...
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