Mortgage Approvals Experience a Minor Decline

In January, the United Kingdom witnessed a slight decrease in mortgage approvals for house purchases, dropping to 66,200 from 66,500 in December 2024, as reported by the Bank of England.

Remortgaging and Consumer Credit Trends

Contrastingly, remortgaging approvals saw an increase to 32,900 in January from 30,700 the previous month. The consumer credit landscape also shifted, with figures reaching £1.7 billion in January, up from £1.1 billion in December 2024, albeit with a minor dip in the annual growth rate to 6.4%.

Interest Rates and Borrowing Insights

The effective rate on new personal loans to individuals slightly decreased by 6 basis points to 8.79%. Meanwhile, individuals borrowed a total of £4.2 billion in mortgage debt during the same period.