Mortgage lending slumps to 13-year low

The number of new mortgages approved for house purchase fell slightly in February to just 73,000, the Bank says, a 39% drop on the same month a year ago. In addition, housing equity withdrawal also fell in the last quarter of 2007 to £7.3bn, as did remortgaging. The statistics highlight the strife gripping the mortgage industry at present, with high prices driving away first-time buyers and the credit crunch hitting banks bidding to raise money to lend to customers. February saw the number of new loans approved for people moving their mortgage deals to new lenders fall to 111,000 from 11...