Noel Meredith (pictured), director at United Trust Bank, said that the lender was seeing an increase in both the size and the number of residential developments seeking funding in recent months.

“Although developers have continued to build where there are pockets of strong demand, recent activity suggests that these areas are widening and developers are consequently starting projects to meet this growing demand,” he said.

“Much of the UK housing market has been in the doldrums for the best part of five years but I sense that consumers who have been putting off getting on to the property ladder, or moving to something bigger, are now deciding that it’s time to get on with their lives.”

Meredith went on to say that the government’s Help to Buy scheme was now helping confidence spread across the country.

“Recent comments by the new governor of the Bank of England have reassured home owners that interest rates are set to remain low for some time. This coupled with the Help to Buy scheme will help the recovery of housing demand spread over a wider area more quickly.

Sponsored

Episode 5: Larger Loans and Complex Lending: Powered by Partnership podcast from Newcastle for Intermediaries

Sponsored by Newcastle for Intermediaries

“Increased activity combined with a shortage of housing stock can lead to property prices increasing which in turn feeds more confidence into the market. Although it may be a bit early to celebrate a widespread recovery these signs of increasing confidence and positivity certainly bode well for the future,” he added.