Mortgage approvals in the UK fell to its lowest level in 15 years last month, according to a high street banking report.
In total, 51,610 mortgage approvals valued at £6.5 billion (S$12.7 billion) were recorded in June, the lowest number of mortgage approvals seen by the British Bankers’ Association (BBA) since September 1997.
Of this figure, 26,269 approvals valued at £4.2 billion (S$8.2 billion) were for home purchases, while re-mortgage approvals numbered 14,000 and were worth £1.9 billion (S$3.71 billion).
Mortgage approvals for home purchases are at its lowest since January 2009 and are 20 percent lower than in 2011.
BBA also noted that consumers’ appetite for borrowing continues to be weak due to the “subdued” market while buying activity was affected by the wet weather and public holidays for the Diamond Jubilee.
Meanwhile, banks have also tightened their borrowing criteria.
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