According to the BBA’s latest high street banking data, UK gross mortgage borrowing of £13.4 billion in February was 4.6% higher than in the same month last year. After allowing for repayments, February’s net mortgage borrowing was 2.5% higher than in February 2016.

Consumer credit annual growth in February was 6.6%. There was some slackening in the annual growth rate for personal loans and overdrafts while that for credit card strengthened slightly.

House purchase approval numbers of 42,613 were 4.6% lower than in February 2016 and 3.5% lower than January but above the 2016 monthly average of 41,287.

Remortgaging approval numbers of 25,414 in February were well down on January’s numbers and a little lower than the 2016 average of 25,987.

Other advances were 4.8% higher than a year ago.

Eric Leenders, BBA Managing Director for Retail Banking said:

“Elevated approval volumes for house purchases and re-mortgaging experienced during the winter months fell back in February, to average levels seen throughout most of last year. Consumers’ use of credit cards and personal loans reflect last month’s increased spending figures.

“Businesses continue to exercise a cautious approach to borrowing, using cash reserves and alternative lending sources to finance their operations.”

Source: BBA

 

 

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