Net mortgage debt 1.2 bln gbp vs 2.2 bln in April (Il Sole 24 Ore Radiocor) - London, 01 Jul - Net mortgage approvals in the UK in May fell to 60,000 from 60,800 in April while net borrowing of mortgage debt fell to 1.2 billion pounds from 2.2 billion the earlier month, according to data released by the Bank of England.

The annual growth rate for net mortgage lending rose to 0.3% from 0.2% in April, the first rise in the growth rate since October 2022. Gross lending rose to 22.2 billion pounds from 21.1 billion in April, while gross repayments rose by 1.2 billion pounds to 20.5 billion.

The Bank of England also said that net consumer credit rose to 1.5 billion pounds from 0.8 billion in April, with borrowing trough credit cards rising to 0.6 billion from 0.2 billion and through other forms of credit to 0.9 billion from 0.6 billion.

The annual growth rate for all consumer credit was 8.3% in May, up from 8.1% in April with the rate for credit cards unchanged at up 10.8% and for other forms of consumer credit rising to 7.3% from 6.9% in April.

During May, UK non-financial businesses repaid, on net, 0.5 billion pounds of bank and building society loans, including overdrafts, compared to1.1 billion of net repayments in April.

Net borrowing by large non-financial businesses increased to 0.3 billion in May, compared to 0.3 billion of net repayments in April. Net repayments by small and medium-sized non-financial businesses (SMEs) were unchanged between April and May, at 0.8 billion.

The annual growth rate of borrowing by large businesses fell for the third consecutive month, from down 0.3% in April to down 0.4% in May. By contrast, the annual growth rate of borrowing by SMEs increased slightly to down 4.6% in May, from down 4.7% in the previous month.

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(RADIOCOR) 01-07-24 11:30:04 (0245) 5 NNNN