RICS: BBA April mortgage approvals

Commenting on the BBA mortgage approvals data released today, which showed a rise of 4% in mortgage approvals for new house purchases in April, RICS senior economist Brigid O'Leary said: "The rise in mortgage approvals for new house purchases in April reverses some of March's fall however mortgage lending continues to be stuck at very low levels. As yet, there are few signs that the massive stimulus from the Bank of England is having a marked effect on mortgage lending, and the increase in new buyer enquiries, as reported in the RICS housing market survey, is clearly still being stifled by restricted lending conditions.

"The extended quantitative easing programme, combined with the availability of government guarantees for asset backed securities, may go some way to improving the situation in the next few months. An increase in mortgage approvals will be vital to lift the housing market out of its depressed state."