Mortgage approvals rise in June

The increase in total net lending to individuals in June (£0.4 billion) was lower than both the May increase (£0.5 billion) and the previous six-month average, according figures from the Bank of England (BoE).

The twelve-month growth rate continued to fall, by 0.2 percentage points to 1.2%, and the three-month annualised growth rate also fell, by 0.1 percentage points, to 0.5%.

Within the total, the increase in net lending secured on dwellings (£0.3 billion) was unchanged from May and below the previous six-month average. The twelve-month growth rate fell further, by 0.2 percentage points to 1.1%. The three-month annualised growth rate fell to 0.5%. Approvals for house purchase (47,584) and for remortgaging (35,011) were higher than in May and above the previous six-month average. The number of loans approved for other purposes (29,509) was higher than in May but below the previous six-month average.

Consumer credit increased by a net £0.1 billion, in line with the previous six-month average. Credit card lending increased by a net £0.2 billion and other loans and advances fell by £0.1 billion. The annual growth rate of consumer credit continued to fall, to 1.9%; the three-month annualised growth rate increased by 0.1 percentage points to 0.6%.