The supply of mortgages to UK borrowers declined last month, according to a new report.
Figures from the Council of Mortgage Lenders (CML) showed that gross lending of home loans fell to £10.4 billion in April, a drop of nine per cent on the £11.4 billion seen in March.
In addition, the organisation noted that this represented a fall of 60 per cent when compared to April 2008.
However, it explained that seasonal reasons could have contributed to the decline, as Easter fell in March last year but in April this year.
Michael Coogan, director general for the CML, said that it is too soon to tell if a recovery is imminent in the property sector.
“Activity remains weak and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market,” he commented.
Meanwhile, the Association of Mortgage Intermediaries has stated that the home loans sector must do more to promote the benefits of debt advice to borrowers.
By Jamie Price