Gross mortgage lending increases
22nd Jun 2012
Gross mortgage lending in the UK is continuing to rise, according to new figures from the Council of Mortgage Lenders (CML), which show that stability is returning to the industry.
Data issued by the organisation shows that gross mortgage lending in May was an estimated £12.2 billion, which represents a 24 per cent rise from the £9.9 billion recorded in April.
It is also a significant rise on the figures published in May last year, improving by 13 per cent rise on the £10.8 billion recorded 12 months ago.
Commenting on the figures, CML chief economist Bob Pannell noted that the government has recently announced a number of measures to counter the adverse effects from the Eurozone crisis.
"It clearly senses an opportunity to bolster home ownership and housing activity, and we look forward to hearing more details about the 'funding for lending' initiative which seeks to deliver this," he added.
Mr Pannell said that a number of one-off factors, such as the Diamond Jubilee and the impending start of the Olympic Games, are set to distort market indicators slightly over the coming months, so it may be the autumn before it is possible to accurately gauge the state of the market.
Posted by Staff Writer: Frances McDonald
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