Mortgage approvals rise in September

The increase in total net lending to individuals in September (£2.4 billion) was above the increase in August, but below the previous six-month average, according to the Bank of England (BoE).

The twelve-month growth rate slowed further, to 5.4%, and the three-month annualised growth rate fell by 0.4 percentage points to 1.9%.

Within the total, the increase in net lending secured on dwellings (£2.2 billion) was stronger than the decline in August (revised from a £0.1 billion increase published previously), but weaker than the previous six-month average.

The twelve-month growth rate slowed further, to 5.3%. The three-month annualised growth rate fell by 0.2 percentage points to 1.5%. The numbers of loans approved for house purchase (33,000) and remortgaging (72,000) were higher than in August, but that for other purposes (37,000) was lower than in August.

The increase in net consumer credit in September (£0.3 billion) was below that in August and below the previous six-month average (Table A). Net credit card lending rose by £0.3 billion, below the increase in August. Net other loansfell slightly in September. The annual growth rate of consumer credit slowed by 0.7 percentage points, to and advances 6.0%; the three-month annualised growth rate fell by 1.5 percentage points, to 3.9%.