Gross mortgage lending fell during October, according to CML figures

Gross mortgage lending fell last month, but was still significantly higher than a year earlier.

Figures released by the Council of Mortgage lenders showed that £13.1bn was lent during October. That figure was down 4pc from the September figure of £13.7bn, but it was up 13pc from the £11.6bn forwarded to borrowers in October 2010.

“The underlying picture in the housing and mortgage markets has not changed dramatically over recent weeks,” said CML chief economist Bob Pannell.

“The immediate direction of house purchase activity is a little unclear, although the story for remortgages, with strong year-on-year increases in activity this year, is for the time being more straightforward.

“With the government’s housing strategy and autumn statement due shortly, the housing market, with subdued levels of new build and demand, offers a tried and tested means of providing a timely stimulus to the wider economy.”