UK Mortgage Approvals Fall in April – BoE

Data released by the Bank of England on Wednesday, June 2nd, suggests that mortgage approvals fell to 4-month low in April 2011. As such, the total number of approved mortgages stood at 45,166 in April, which compares to 47,145 in March.

Experts are determined that although the decline can in part be attributed to holidays (Easter and the Royal Wedding), the underlying reason is weak demand.

Commenting on the figures released by the Bank of England, Mr. Archer of IHS Global Insight, said that weak demand for mortgages means that house prices in the UK might fall soon. A similar opinion is shared by experts of Hometrack Ltd., British housing intelligence company.

Mr. Diggle of Capital Economics further dramatized the situation by saying that "mortgage lending volume is unlikely to pick up noticeably this year or next amid subdued demand."

Detailed information on UK mortgage approvals can be found on the official website of the Bank of England. Please, refer to the Statistics section to view the report.