Mortgage lending leaps £0.9bn in September

29 October 2009 | By Natalie Martin

This figure remains weaker than the August rise of £1.3bn, but above the previous six-month average of £0.6bn.

Within total secured lending, secured lending by banks increased by £3.5bn, above both the £2.9bn increase in August and the six-month average of £2.6bn.

The number of loan approvals for house purchase - 56,215 was above the August figure of 52,970 and above the previous six-month average, whereas approvals for remortgaging, 25,528 were below the August figure of 28,348 and below the previous six-month average.

The number of loans approved for other purposes - 27,956 was higher than in August, but below the previous six-month average.

Deposits from other financial corporations increased by £3.8bn in September. That was more than accounted for by mortgage and housing credit corporations and other auxiliary activities increasing their deposits, partially offset by securities dealers and bank holding companies reducing their deposits by £9.7bn and £8.9bn respectively.

Deposits from non-financial corporations rose by £6.3bn, mainly reflecting increases from development, buying, selling and renting of real estate, and education.