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Net mortgage lending at £2.1bn in August, says BBA

The British Bankers’ Association has reported a £2.1bn rise in net mortgage lending – less than half the average rise over the previous six months.

It says the number of approvals for house purchase was again very low and those for remortgaging also fell.

The BBA also reports a rise in consumer credit by £0.4bn in August, slightly above the previous six-month average of £0.3bn. Personal deposit growth continued to be weak and fell year on year by 0.7% to 4.0%.

David Dooks, statistics director of the BBA, says: “The low number of mortgage approvals in previous months predicted lower gross lending in August and, together with remortgaging, a much weaker net lending figure than of late resulted.

“Falling property prices, economic pressures on households, tighter lending criteria and anticipation of the government’s announcement on Stamp Duty all suppressed or delayed demand in August and will continue having an impact in the months ahead.”

Dooks adds: “Monthly fluctuations in consumer credit and deposits reflect the behaviour of families repaying as much as they spend on credit cards and using their current accounts for expenditure.”


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Recent figures from Financial Fraud Action UK revealed a financial scam was committed, on average, every 15 seconds during the first six months of 2016, says Roy Armitage, head of credit at Lendinvest. That represents a 53 per cent rise year-on-year, with these scams coming in all shapes and sizes. Furthermore, a staggering 56 per cent of […]


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