Latest figures from UK Finance show remortgage levels alongside strong first-time buyer numbers are likely to have contributed to an increase of 14% in mortgage borrowing in October, compared to the same month last year.
Gross mortgage lending totalled £23.1bn in October, according to UK Finance but the total amount of credit outstanding grew at a slower pace in October compared to the previous month, at 7.1%.
UK Finance senior economist Mohammad Jamei says: “The anticipated bank rate rise saw a flurry of remortgage activity as many homeowners took advantage of the competitive rates on offer. Borrowing was also boosted by stronger first-time buyer activity as this segment benefitted from good credit availability, lower rates and government housing schemes.”
“In terms of saving, consumer deposits grew at a slower rate in October, while businesses have continued the trend of bolstering their cash reserves amidst a cautious business landscape due to Brexit uncertainties.”
Original Source: https://www.ukfinance.org.uk/uk-finance-update-on-lending-november-2017/