Mortgage approvals hit highest level in nearly four years
Written by News on 02/03/2020
The number of mortgage approvals for home buyers rose to its highest level in nearly four years in January, latest Bank of England figures show.
They revealed 70,888 loans were approved, up from 67,930 in December – adding to evidence of a pick-up in the housing market, as well as wider consumer confidence, at the start of 2020.
The figure was the highest since February 2016 and comes a week after Nationwide said house prices rose by 2.3% in February – the fastest annual pace for 19 months.
Recent figures have also pointed to consumer confidence rising to an 18-month high and business sentiment also improving.
Signs of optimism since the general election in December helped persuade the Bank of England not to cut interest rates last month.
The so-called “Boris bounce” is attributed by some to the decisiveness of the result after a long period of political deadlock and uncertainty over Brexit.
Howard Archer, chief economic advisor to the EY ITEM Club, said: “The data fuels the view that the housing market has, at least temporarily, shifted up a gear after a lacklustre 2019.
“The housing market has seemingly been boosted from increased optimism and reduced uncertainties following December’s general election.”
(c) Sky News 2020: Mortgage approvals hit highest level in nearly four years
