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U.K. mortgage lending continued to slow in July, according to the Bank of England's latest Trends in Lending publication.
The bank said gross lending for house purchase was "little changed" and mortgage approvals for house purchase decreased slightly. The mortgage arrears rate fell further in the June quarter and lenders expect it to be broadly unchanged in the coming months.
Net lending to businesses also remained negative. "Contacts of the bank's network of agents noted that while credit conditions were easing for larger businesses, they remained tight for smaller firms," the bank said.
On the other hand, the flow of net consumer credit increased in July, though the annual growth rate of the stock of lending remained close to zero.
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