CML: Lending very high in August

Despite a fall in mortgage lending in August, figures are still at “very high levels”, according to the Council of Mortgage Lenders (CML).

Gross mortgage lending for August stood at £32.2 billion in total, a six per cent fall on the July figure of £34.1 billion, but the CML has still characterised this as high and had a warning for the next few months for those taking on debt.

“The events of the past week have shown us how very quickly situations can change,” said CML director general Michael Coogan.

“It makes sense for consumers to continue to plan for rates at or about their current levels for the foreseeable future – we are not out of the woods yet.”

Mr Coogan’s warning suggests that those struggling with debt management could find themselves in need of further debt advice until the current period is negotiated.

The CML statistics arrive in the week when the British Bankers’ Association (BBA) noted a fall in unsecured borrowing levels in August.

Lending on credit cards, overdrafts and loans all fell, according to the BBA.