Mortgage lending rises annually

Gross lending increased annually in September, according to new figures from the Council of Mortgage Lenders (CML).

According to the organisation, lending reached £30.6 billion in the month, up on the £29.2 billion lent in September 2006.

Remortgaging activity was also up, rising from £10 billion one year ago to £11.1 billion this year.

This figure was also higher than the one recorded in August (£11 billion) and the CML is confident that this trend will continue.

"Looking forward, we expect remortgaging to continue to hold up as borrowers coming off fixed rate deals look to re-finance," said Michael Coogan, director general of the CML.

"[Interest] rates have now reached their peak and a move downwards will help ease some of the pressure on household finances," he continued.

Buy-to-let lending also increased in September, rising from £5.3 billion in September 2006 to £6.8 billion this year - the same figure as that recorded in August.

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