Consumers demonstrated last month that they were happy to take on new mortgages but concerned to reduce credit card debt, according to official figures published yesterday.
The Bank of England reported the number of approvals for house purchases was 119,000 in August, down only 1,000 on the previous month and well above the six-month average of 116,000.
The housing market remains resilient with house price growth remaining strong.
New figures from Knight Frank show a resurgence in the top end of the London market has pushed prices up 23.5% in the 12 months to September.
References: Financial Times 30/09/06 page 5, The Independent 23/09/06 page 57
