UK mortgage approvals fall more than expected

(Sharecast News) - The number of mortgage approvals for house purchases in the UK fell for the second straight month in February, while consumer credit borrowing slipped, according to data out on Monday from the Bank of England. Net mortgage approvals were down 600 at 65,500 last month, following a 400 decrease in January, missing the consensus forecast of 66,000.

Approvals for remortgaging decreased by 800 to 32,000, following an increase of 2,100 in the previous month.

Net borrowing of all mortgage debt fell by 0.9% to £3.3bn, reversing a £0.8bn gain in January, though the annual growth rate for net mortgage lending was little changed at 1.9%. Gross lending, however, jumped to £24.3bn from £21.7bn, marking the highest level since November 2022.

Meanwhile, net consumer credit borrowing by individuals fell to £1.4bn from £1.7bn the month before, with net borrowing through credit cards falling to £0.8bn from £1.1bn.