Seasonally adjusted net mortgage lending rose by £4.6bn in January, compared with £5.3bn in December and £4.2bn in January 2005, according to the latest figures from the British Bankers' Association (BBA).
The £4.6bn increase in January is slightly weaker than the average of £4.7bn in the previous six months and the annual growth rate is just over 12%.
The figures also reveal January’s gross mortgage lending was £14.5bn, which is the highest January total on record and 25% above the very low January 2005 figure, but is only marginally above the total in January two years ago.
Meanwhile, there were 140,020 mortgage approvals in January – 1% lower than December and 8% higher than January 2005 – with a total value of £12.7bn.
In line with previous years, the average approval for house purchase fell in January to £126,800.
Compared to the same month a year earlier, January’s approvals of house purchase loans were 32% higher by number and 47% higher by value; remortgaging loans were 2% lower by number but 7% higher by value; and equity withdrawal loans were 1% higher by number and 10% higher by value.
David Dooks, BBA director of statistics, says: “Seasonally adjusted net mortgage lending fell back to around the recent trend in January and the level of approvals, in particular for equity withdrawal, held up well in what is traditionally a slow month.”
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Emily Perryman on 020 7968 4554 or email [email protected].IFAonline
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