Additionally, in the first eight months of 2016 the figure for housing purchases was down by 2% compared to the same period in 2015.
The figures showed a dip in remortgaging approvals of 6% in August 2016, but they were 16% higher in the first eight months of 2016 compared to 2015.
Gross mortgage borrowing of £12.4bn in the past month were 1% higher than it was a year ago. Net mortgage borrowing figures showed a 3% rise from 2015.
Jeff Poole, managing director of Freedom Consumer Finance commented on the figures: “August’s figures from the BBA show that year-on-year borrowing patterns have not been affected by the UK’s decision to leave the EU. Whilst it is still too early to see if there will be any long-term effects of the vote for Brexit, this data sends a positive message for those hoping to access credit.”
The figures come after a report by Savills suggested introducing a 7% property price adjustment to help the market in London stabilise in the wake of the Brexit result.
This was in response to news of a marked fall in transaction numbers in London, while much of the rest of the UK held up well during August in lower-to-medium value homes.
