UK Finance

Data suggests jump in first-time-buyer mortgages


Industry lobby group UK Finance says there were 27,370 new first-time buyer mortgages completed in April 2019, 7.9% more than in the same month in 2018.

It adds that there 5,100 new buy-to-let house purchase mortgages completed in April 2019, the same as this time last year. There were 14,400 remortgages in the buy-to-let sector, the same as this time last year.

Industry lobby group on overdrafts

The industry is working on a voluntary agreement to make the cost of overdraft borrowing easier to understand for consumers which will be implemented in April 2020. This will build on the range of measures already introduced by the industry, such as text alerts which have been shown to reduce overdraft charges by 25%. Overdrafts can provide a convenient way for customers to smooth their short-term cashflow, and there is a highly competitive market in the UK with over 96 products on offer. We would always urge customers to speak to their bank and arrange an overdraft in advance to ensure payments are honoured.”

Eric Leendersmanaging director of personal finance at UK Finance.

More on mortgage data

estate agent window
Getty Images

More on that mortgage data.

Howard Archer, chief economic adviser at the EY Item Club of forecasters, has been looking at the rise in mortgage approvals to 42,989 in April from 40,564 in March.

That's the most since February 2017, he said.

"This marked a clear upside breakout of the 38,000-40,000 range that had previously largely held since the beginning of 2018," he said.

"April’s marked rise in mortgage approvals suggests that housing market activity may well have got at least some temporary support from the avoidance of a disruptive Brexit at the end of March. It may very well also be that the housing market has benefited from recent improved consumer purchasing power and robust employment growth," he added.

But, he expects any boost to be limited and estimates that house prices will rise "only" 1% over the year.

Number of mortgages rises

roof tops
Getty Images

Banks approved 42,989 mortgages in April, up from 40,564 in March and 11.5% higher than a year ago on a seasonally-adjusted basis.

UK Finance, industry lobby group, said mortgage lending rose by £1.8bn last month, less than the amount in March when the figure was £2.4bn.

Consumer lending increased 3.8% year-on-year in April, below March's 4.1%.

Climate change protest inside the AGM too

BBC business editor tweets

Barclays hit by climate change protest

Campaigners from student activist network People & Planet waved banners reading 'Fossil Banks-No Thanks' outside the Barclays' AGM.

That's according to Reuters which says several protesters were dragged away from the venue at the QEII conference centre in Westminster by police and security staff.

Mortgage data

Data published by UK Finance data about mortgages and credit published earlier is incorrect.

Reuters is quoting a spokesperson saying: "We will publish new figures soon".

Lowest since 2013

BBC economics correspondent tweets

View more on twitter

Seasonally-adjusted data from the UK Finance showed banks approved 35,299 mortgages in February.

Mortgage approvals fall


The number of mortgages approved by the main high street banks in February 2019 was 2.2% lower than the same month in 2018.

That's according to industry body UK Finance which compiles the data.

It looks as if the remortgaging market is slowing down. The data shows approvals for home buyers were up 1.5% but down 6.6% for remortgaging.

"This follows several months of strong growth in remortgaging in 2018, as customers took advantage of a competitive mortgage market to lock into attractive deals," UK Finance said.