Bank of England Money and Credit Report – comment

Reporting on the Bank of England Money and Credit data published this morning, Leon Diamond, CEO at LiveMore, comments: “It has been an up and down market for both net and gross lending in 2022 but mortgage approvals are now firmly on a downward slide.

“Mortgage approvals for house purchases decreased to 46,100 in November, down from 74,400 in August – a 38% fall in just three months – and the lowest level since June 2020. As approvals are an indicator of future lending this give a clear indication of which way the mortgage market for house purchase is going.

“If the Bank of England continues to raise the base rate, mortgage lending will decline this year. With the high cost of living and high inflation, more people will be forced to put any home moving plans they have on hold.”