Gross annual lending fell for the second consecutive month in December, according to figures published last week by the Council of Mortgage Lenders.
Lending was down 1 per cent year-on-year to £16.5bn. Lenders advanced the same in December as the month before. This means the gross lending estimate for Q4 2014 is £51.6bn – down 8 per cent on Q3 but up 1 per cent on Q4 2013.
Lending reached an estimated £205.6bn in 2014, up 17 per cent on the year before, and had the strongest year for seven years.
CML chief economist Bob Pannell says: “Housing market activity has been cooling and house price growth slowing in recent months, but 2014 was still the strongest year for mortgage lending since 2008.”
SPF Private Clients CEO Mark Harris says: “While we expect the market to be more subdued over the next few months, we still predict in the region of £215bn for the year.”