This is a rise of 7% from £12.2 billion in June last year, according to new data from the Council of Mortgage Lenders.
Gross lending in the second quarter of 2010 was an estimated £35 billion, up 17% from the first quarter of this year and up 7% from the second quarter of 2009.
The CML said lending in the first half of 2010 remained unchanged from the first half of 2009 at £65 billion.
CML economist Paul Samter said: “Our gross lending estimate of £13.1 billion in June represents a seasonal pick-up and is higher than June last year, but is still indicative of low levels of activity.
“There are signs of house prices stabilising and more properties coming onto the market following the abolition of home information packs. This may improve liquidity in the market, but transaction levels are subdued and likely to remain so while access to credit remains constrained.”
The FSA continued to warn that the FSA’s Mortgage Market Review could make it harder for consumers to borrower and more expensive for providers to lend.
“The FSA has outlined a clear direction of travel as part of its mortgage market review. The consultation paper on responsible lending increases the regulatory burden on lenders and could make it harder for borrowers to access credit.”
Brian Murphy, head of lending at independent mortgage broker Mortgage Advice Bureau, said: “Although the June figures show a healthy rise on the previous month, we can largely put this increase down to a normal seasonal uplift in housing market activity. More revealing is the levels of lending in the first half of 2010, which are roughly the same as 2009, but whereas in the second half of 2009 the market had a boost with the end of the stamp duty holiday incentivising people to jump in and buy, there is no such incentive for buyers in the second half of 2010.
“On the contrary, with looming public sector cuts, taxation rises, a freeze on wage increases and inflationary pressures, we are likely to see lending tail off during the second half of 2010, with buyers likely to take a wait-and-see approach. There’s every chance that mortgage lending this year will be below the level of lending in 2009.”
