Lending down across the country during Q1: CML

Lending down across the country during Q1: CML

Mortgage lending to home movers and first-time buyers was down across the country during the first quarter of this year, data from the Council of Mortgage Lenders reveal.

Remortgaging was the only form of lending to move positively during the first three months of 2015, increasing in both Greater London and Scotland, while in Northern Ireland and Wales it remained unchanged.

In Greater London, remortgage lending was up 10 per cent by volume and up 13 per cent by value, totalling 10,800 loans worth £2.9bn. In Scotland, the number of remortgage loans were up 4 per cent in volume and 2 per cent by value on the fourth quarter last year, totalling 5,900 loans.

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First-time buyers in Greater London borrowed £2.4bn across 10,100 loans, a quarter-on-quarter fall of 16 per cent in value and 16 per cent in terms of number of loans. Home movers saw a decrease in numbers to 7,200 loans valued at £2.5bn, down 18 per cent and 15 per cent.

In Scotland, first-time buyers took out 5,400 loans worth £580m, down by 23 per cent by volume and 24 per cent by value compared to the fourth quarter. There were 6,700 loans to home movers - valued at £1.1bn - representing a fall of 17 per cent and 6 per cent.

In Northern Ireland first-time buyers took out 1,400 loans to purchase a home valued at £110m, down 35 per cent by value and 30 per cent in number of loans. Home movers saw a decrease in numbers to 1,000 loans valued at £120m, down 38 per cent and 37 per cent.

Remortgage lending remained unchanged by volume and value in the first quarter compared to the fourth quarter 2014, totalling 1,200 loans worth £120m.

Finally across Wales first-time buyers borrowed £260m to purchase a house through 2,400 loans, 24 per cent fall and 25 per cent down. The number of home movers loans also declined quarter-on-quarter to 2,700 valued at £380m, down 27 per cent and 24 per cent.

Remortgage lending was also unchanged quarter-on-quarter in both value and volume, at 3,200 loans worth £340m.