Slight Fall In Mortgage Lending

According to the Council of Mortgage Lenders CML, gross lending fell by 6 per cent in August, compared with July, which equates to a fall of £2million.  

However, the Council of Mortgage Lenders believes that although the figures have fallen slightly, they are still high.  It makes sense for consumers to plan for the interest rates to stay about the same for the future.  

Our view

We are not surprised that lending levels have slowed, as people are concerned about the increase in interest rates and recent events relating to Northern Rock.  We also suggest that the number of repossessions will increase in 2008 by 50 per cent.

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