BBA Lending Stats -
Paul Hunt, managing director of Phoebus Software said: “The fall of GDP in the final quarter of last year makes these BBA numbers are all the more remarkable. Those who complain lending volumes are still far below the long term average should count their blessings. Stop-start growth in the UK economy and potential disaster in those of our main trading partners could have caused lenders to button up their wallets and head for the hills. Instead, the high street banks boosted their net lending activity 1.5% last year and last month injected 12% more into the property market than they did in December 2010. This is a show of defiant confidence in the UK’s economy and lenders should be commended for it”.
CML Gross Lending -
Paul Hunt, managing director Phoebus Software said: “The annual increase in gross lending isn’t large enough to indicate the market is returning to the levels seen a few years ago, but it’s very encouraging nonetheless. In the second half of 2011, the eurozone crisis and the resulting rise in LIBOR could have caused lenders to retreat into their shells to weather possible defaults in Greece and beyond. But in fact lenders have demonstrated they are prepared to support the property market in the UK as far as is possible. On a seasonally adjusted basis, gross lending rose in seven of the last eight months, which last happened in 2009. 2012 will certainly offer major challenges to lenders hoping to expand their activities in the UK, but their efforts in the latter part of 2011 demonstrate they are well prepared to meet them”.