BBA: Mortgage lending up 4.6% in last year

Posted: 24 Sep 2009 14:06:46 GMT

Mortgage lending has grown by 4.6 per cent over the last year, according to the latest data from the British Bankers' Association (BBA).

The organisation also suggested that the number of loans approved for house purchase each month remains stable.

BBA statistics director David Dooks said that the mortgage lending activity of the main high street banks has stabalised recently, even though other lenders are "largely inactive".

"Loans approved for house purchase have recovered to early-2008 levels, but low levels of customer demand and a limited number of properties coming onto the market will continue to moderate lending," he explained.

Mr Dooks also indicated that consumers are trying to build up their savings and control their appetite for unsecured borrowing due to the current economic conditions.

Neil Young, chief executive officer of the Young Group, said this week that the UK needs a sensible approach to buy-to-let lending where the market is defined by suitable products, consistency and stability.


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