Mortgages approved by HSBC in the UK rose by 22 percent in the first three quarters of 2012 to reach £15.6 billion (S$30.53 billion) compared with the same period last year. At the same time, lending to first-time buyers grew 33 percent to £4 billion (S$7.83 billion).
HSBC granted a total of £38.3 billion (S$74.94 billion) worth of new loans to businesses and mortgage borrowers, representing an increase of 11 percent over the same period in 2011.
“This year we have lent a significant amount to both our business and individual customers, and our market share has continued to grow in a challenging environment,” said Antonio Simoes, Head of HSBC UK.
“Our latest figures show that we are already well on our way to surpassing our commitments for the year, with three months still remaining.”
While lenders have tightened their mortgage criteria in recent months, the Bank of England’s £80 billion (S$156.54 billion) Funding for Lending Scheme (FLS) launched in August has improved loan availability and reduced home loan interest rates.
But mortgage lending in September was “disappointingly lacklustre”, falling 10 percent from August when mortgage lending reached a two-year high, said the Council of Mortgage Lenders (CML).
Nonetheless, the central bank said the effects of the scheme may start to show in market studies during the coming months because of the length of time it takes to buy a house.
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