20-06-2007
Strength of mortgage lending continues
New data suggests that mortgage lending in the UK is continuing to show strength.
According to data released by the Council of Mortgage Lenders (CML), last month gross lending grew by 12 per cent to £30.6 billion, when compared with figures from the previous month.
However, the Royal Institution of Chartered Surveyors (Rics) has downplayed the significance of the increase.
"Although lending has edged up on the previous month the early summer always sees an increase in transaction activity, meaning we should not read too much into the monthly change," said Oliver Gilmartin, a senior economist with Rics.
"The current squeeze on disposable incomes will continue, making affordability levels deteriorate even further," he added.
In April, gross mortgage lending totalled £27.4 billion.
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