Level of mortgage approvals plunges to ten-year low

Citation

(2005), "Level of mortgage approvals plunges to ten-year low", Structural Survey, Vol. 23 No. 3. https://doi.org/10.1108/ss.2005.11023cab.008

Level of mortgage approvals plunges to ten-year low

Keywords: Economic growth, Interest rates, Mortgage companies

According to the latest RICS Economic Brief, UK economic activity rebounded strongly at the end of 2004, with growth for the full year at 3.1 per cent, the sharpest increase in four years. The upturn has been driven by the service economy. Output is climbing in several areas, most notably in the business and financial services, and transport and communications sectors. The Bank of England has kept interest rates on hold following its figures showing that mortgage approvals fell to their lowest level in nearly ten years. The bank’s monetary policy committee maintained interest rates at 4.75 per cent earlier this month after the most recent “monthly lending to individuals report” says that, 77,000 mortgages were approved in November, compared to 85,000 in October 2004.