View more on these topics

Gross mortgage lending up 14% in October


Gross mortgage lending hit 12.9bn in October, a 14 per cent increase from the £11.3bn advanced in September, according to the Council of Mortgage Lenders.

Lending was 4.9 per cent higher than the £12.3bn advanced in October 2011.

To the end of October, lender had advanced an estimated £118.7bn to borrowers this year.

CML chief economist Bob Pannell says: “House purchase and remortgage activity both appear to have picked up recently, and this should be supported by an improvement in the availability and pricing of mortgages.

“The Funding for Lending Scheme is likely to have made an early positive impact, helping to counter some of the negative pressures associated with a protracted and weak economic recovery.”

SPF Private Clients chief executive Mark Harris says: “The mortgage market may still be constrained when you compare it with what it was at the height of the housing boom but it is showing encouraging signs of easing. 

“Money market rates are falling as the Funding for Lending scheme continues to have an impact on pricing and availability of mortgages.This bodes well for next year as we expect this easing to continue. As lenders saturate the low loan-to-value market with a plethora of rock-bottom rates, they will be forced to turn to the higher LTV bracket if they are going to do any significant levels of business, which will mean cheaper rates and more choice for first-time buyers in particular.”


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm