This was also a 22% rise on August 2011, where £2.1bn of mortgages was approved.
Mutuals’ gross mortgage lending totalled £2.3bn in September, up by 4% on the £2.2bn lent in September 2010.
Gross lending by mutuals for the first nine months of the year stands at £16.7bn, an increase of 14% on the same period in 2010.
The BSA said that there had also been an 18% rise in mortgage approvals between the first nine months of 2010 and the same period in 2011, from £14.5bn to £17.1bn.
Adrian Coles, director-general of the BSA, said: “Although the UK economic outlook remains challenging, mutual lenders continue to support homebuyers by providing attractive mortgage products. This has led to a 33% increase in mortgage approvals in September, compared to the same time last year.”
He added: “Mortgage approvals indicate how gross lending will change in the coming months. Over the first three quarters of the year, gross lending by mutuals was up 14% on the previous year, and the growth in approvals suggests that this trend will continue into the final quarter of 2011.”
