Money Matters - Simplified

Growth in British lending changes little

London -- Growth in mortgage lending slowed sharply in Britain in September from August, but total lending was little-changed, the Bank of England said Friday.

Total lending rose by $639 million, leaving the 12-month annualized growth rate unchanged from a month ago at 0.8 percent, the bank said.

The growth in lending for home purchases fell sharply, from $2.5 billion to just $159 million. This also falls below the six-month average increase of $798 million and dropped the 12-month annualized growth rate for home lending to 0.8 percent, the bank said.

The number of loans approved in September, 47,474, was little-changed from a month ago, but fell below the six-month average of 48,764. Refinancing activity rose slightly while new mortgages fell slightly.

Consumer credit loans rose by $479 million, a stronger gain than the six-month average of about $158 million. The 12-month growth rate for credit loans rose 0.3 percentage points to 0.6 percent.

Copyright 2010 United Press International, Inc. (UPI).

No votes yet