Barclays boosts mortgage lending in 2011
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Barclays has reported new gross mortgage lending of £17.2bn in 2011, up from £16.9bn in 2010.
The bank has today reported a 3% fall in profits from last year to £5.9bn.
Its average mortgage balances however increased by 6% during the year.
Mortgage balances of £107.8bn at December 31 2011, were up on last year’s £101.2bn with share by value of 9%,up 1% from last year.
Its gross new mortgage lending equates to a market share by value of 12%, down from 13% last year.
Mortgage redemptions were down to £10.7bn during the year, from £11.0bn in 2010, with net new mortgage lending of £6.5bn, compared to £5.9bn in 2010.
The average LTV ratio on the mortgage portfolio, including buy-to-let on a current valuation basis was 44%, up slightly from 43% in 2010.
The average LTV of new mortgage lending was 54%, up from 52% the previous year.
Its results also reveal that within the UK, term extensions accounted for the majority of forbearance balances. Since January 2008 an additional £1.5bn of interest-only mortgages have received a term extension, which have not been classified as forbearance as they were interest-only mortgages and the contractual monthly payments did not alter, according to Barclays.
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