Mortgage lending up in June

by Aaron Strutt

Jul 23 2014

Mortgage approvals increased marginally in June despite the tougher mortgage qualification rules, according to figures from the British Banks’ Association (BBA).

The number of mortgages approved for house purchases rose from 41,881 in May to 43,265 last month. However, both figures are below the average of more than 45,000 for the last six months.

Commenting on the data, BBA Chief Economist Richard Woolhouse said: “These figures show that mortgage approvals are rising again after four months of decline. That’s encouraging because those decisions are a leading indicator of what’s happening in the housing market. But the jury is still out on exactly how the new rules are affecting customer applications or approvals. Nevertheless, the higher demand for personal loans suggests that the consumers’ confidence in the recovery is growing.”