Mortgages approved in December for new homebuyers fell to its lowest level since May 1995, according to figures from the Bank of England.
Banks and building societies approved 73,000 loans for house purchases, down from 81,000 in November and 114,000 in June. Economists had predicted new home loans in December would fall to 79,000.
Approvals for remortgages rose slightly from November to 97,000, up from 96,000. Another 1.4m people are set to come to the end of fixed rate mortgage deals this year. Total net lending to individuals grew by £9.1bn in December, below November’s increase of £9.2bn and lower than the previous six-month average of £10bn.
31/01/08 Financial Times 1, 2, 12
Times 50, 55
Daily Telegraph 6, B6
Independent 47
