Figures from the Council of Mortgage Lenders, (CML) today show that gross mortgage lending in June was an estimated £12.3 billion, a 17% increase from £10.5 billion in April and a 48% decline from £24.8 billion in June 2008. The last two quarters have held steady, albeit at low levels.
Whilst there has been some tentative positive news emerging from the housing market in recent days, these latest figures reflect more of a seasonal jump than a long-term improvement. There is still no doubt that lenders are not lending enough to meet consumer demand and where lending is taking place, this is often at seemingly expensive levels. A sustained increase in lenders willingness to lend is vital to help provide the boost to the economy that is sorely needed.
After deciding to watch the last few minutes of the tennis which turned into an enthralling hour or so and a hot sleepless night punctuated by a restless little boy crying, I dragged myself out of bed before 6 am to the hallowed halls of the BBC to do a live TV interview on house prices.
Although the usual nerves kicked in, I enjoyed it even if being interviewed standing up was new! Actually, standing up was a good way of doing it and Simon Jack is a very good interviewer who keeps things flowing and certainly knows his stuff.
Our very own MD Matt Lowndes emailed me an idea for my blog today which was so nicely written I thought I would just make him my guest writer for today. As my ears are still ringing from seeing the brilliant AC/DC last week, it gives me more recovery time, and keeps with the musical theme. Over to you Matt…
So I spent most of the past weekend wishing I was up to my knees in a field of mud in Somerset, yes Glastonbury was on and as ever I regretted not actually buying a ticket and making the trip. As they say you have to be in it to win it. But I did metaphorically pitch up a tent in my living room and kick back and relax.
In committing to doing a blog several times a week, the biggest worry is how the hell am I going to find something to write about each time? Since I started the blog a few months before the credit crunch I needn’t have worried, events have been nothing short of sensational and yesterday’s announcement from the Lloyds Banking Group marks another historic landmark.
It is incredibly unfortunate that it has come to this, and great names such as C&G, Abbey, Alliance & Leicester, and Bradford & Bingley disappearing from our high streets is sad to see.
It already looks like a week of pressure for many, not just our beleaguered Prime Minister, who although he has survived the latest coupe is hanging by a thread after the Euro Elections. The issue is that when a Government is in this kind of position, not much of any use apart from fire fighting tends to get done.
The PM is not the only one struggling to survive in this post-credit crunch cauldron. There are many in business who are working all hours to keep things going and see out the recession. In the mortgage and banking industry the news today will no doubt focus on another banking giant following in the footsteps of Santander and rationalising its brands in order to compete in the new world.
Also posted in Credit Crunch |
Andrew Montlake, Communications Director at Coreco and ‘Mortgage Personality of the Year 2008’, gives his views — honest and no holds barred — on the latest developments within the mortgage and property markets.
