Mortgage lending by building societies and other mutuals increased across October, it has been revealed.
New figures from the Building Societies Association (BSA) showed this amount reached £2.3 billion for the month, suggesting such organisations are continuing to lend support to homebuyers despite the lacklustre economic outlook.
This marked the highest level for any four-week period since the BSA began recording in the current basis in January 2010 and is 20 per cent greater than that witnessed in the same month last year.
In addition, the report found savings balances held with these groups increased by £0.4 billion throughout October.
Adrian Coles, director-general of the BSA – whose members include all 47 UK building societies – noted the organisations are continuing to play their part in assisting prospective house purchasers.
The industry figure observed: “This year, mutual lenders have lent 15 per cent more than in the same period in 2010, whereas other lenders have so far lent one per cent less than last year.”
Mutual deposit takers have enjoyed steady savings inflows recently, despite added pressures on household finances, he added.
