STABLE & STEADY
Overall mortgage borrowing across the residential property market remains stable and the trend in households’ cash savings remains steady, that’s the message from UK Finance, the trade body for High Street Banks.
According to UKF, total credit card spending increased in November while borrowing growth remains constant compared with November last year. The increase in spending, which is largely offset by cardholder repayments, reflects the growing use of credit cards as a preferred form of payment, particularly in travel, as consumers take advantage of stronger customer protection and value-added benefits.
The trade body’s analysis revealed that the number of mortgages approved by the main high street banks in November was 10.6 per cent lower than November 2017 led by a reduction in re-mortgages. Approvals for house purchase were 1.2 per cent lower but remortgage approvals were 20.3 per cent lower. Approvals for other secured borrowing were 12.2 per cent lower.
£11.3bn of credit card spending in November was 7.5 per cent higher than November 2017. Over the past twelve months, the outstanding level of credit card borrowing grew by 5.3 per cent. Personal borrowing through loans and overdrafts grew by 2.5 per cent in the year to November.