You are here: Home - News -

Mutuals lent one in three mortgages in Q4

  • 14/02/2017
  • 0
Mutuals lent one in three mortgages in Q4
Building society mortgage approvals rose 13% in 2016 year-on-year and provided almost one in three mortgages in Q4 2016.

The sector approved 109,543 new mortgage loans, up 7% on the same period in 2015.

Consumers borrowed 448,157 mortgages from the UK’s 44 building societies, to the value of £65.4bn, against a total market sized at £240bn.

Paul Broadhead (pictured), head of mortgage policy at the BSA said: “Despite the uncertainties facing the UK economy in the wake of the vote to leave the European Union, consumer confidence remained remarkably strong in the final three months of 2016. This was reflected in the demand for mortgages which was up on 2015. Momentum did, however, slow in the second half of the year. This was not simply due to ‘Referendum’ caution, the Stamp Duty change in April also had a noticeable effect.”

He added that employment levels have been stable so far this year and low interest rates will continue to offer homebuyers an advantage, but the uncertain economic outlook for 2017 may mean home buyers exercise more caution.

On savings this year, the BSA said households will have to contend with higher consumer prices and relatively low growth in wages.

“This could force some people to use their savings to support current levels of spending putting pressure on their ability to save and reducing retail savings inflows,” said Broadhead.

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • RT @robjupp: Great day yesterday for donations to @MortSleepOut. With Gift Aid, we are now close to £17,000. It would be great to get to £2…

Read previous post:
Barclays sign
Barclays launches Stamp Duty cashback mortgage for first-time buyers

Barclays has introduced a cashback mortgage for fledgling buyers targeted to cover stamp duty fees for properties worth up to...