UK Mortgage Approvals Experience Slight Decline in February

The Bank of England reported a decrease in mortgage approvals for house purchases in the UK, dropping to 65,500 in February from 66,100 in January. This slight downturn reflects the current economic pressures facing potential homeowners.

Remortgaging and Consumer Credit Also Show Downward Trends

Approvals for remortgaging saw a reduction to 32,000 in February, down from 32,800 the previous month. Meanwhile, consumer credit stood at £1.4 billion, a decrease from January's £1.7 billion, with the annual growth rate holding steady at 6.4%.

Rising Costs for Borrowers

The effective rate on new personal loans increased by 12 basis points to 8.91%, indicating higher costs for borrowers. Despite this, individuals took on £3.3 billion in mortgage debt, showcasing the ongoing demand in the housing market.