Mortgage lending falls sharply in September
Gross mortgage lending fell 10 percent in September to the lowest level for any month since January 2005, hit by weak demand and the global financial crisis, Britain's Council of Mortgage Lenders said on Monday.
Oil falls from record above $100Banks and building societies loaned 17.7 billion pounds in September, down 42 percent from the same month last year. It was the lowest gross lending figure for September since 2001, the council said.
"The mortgage market is open for business," CML Director General Michael Coogan said in a statement. "But weakening consumer demand and ongoing funding restraints will dampen monthly lending figures for the rest of this year and into the first quarter of 2009."
The gross lending figure for 2008 is expected to be around 255 billion pounds, compared to 363 billion pounds last year, he added.
Britain's economic growth ground to a halt in the second quarter, while inflation and unemployment are rising as the country feels the effects of the financial crisis.
Asking prices for houses in England and Wales fell 4.9 percent in October, according to separate figures released by property website Rightmove on Monday.
(Reporting by Peter Griffiths)
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