Key data
highlights:
-
Card spending was 5.8 per cent higher than in
January 2017, although higher repayment levels meant that the
pace of borrowing saw little change, growing at 4.8 per cent
annually.
-
Gross mortgage lending in January is estimated to
have been £21.9bn, 9.7 per cent more than a year earlier and
slightly above the monthly average of £21.4bn for
2017.
-
UK businesses' deposits grew by 7 per cent in the
past 12 months, while borrowing over the same period contracted
slightly by 1.4 per cent. Within business sectors,
manufacturers' borrowing expanded modestly, while construction
and property-related sectors
contracted.
Commenting on the data, Eric
Leenders, Managing Director, Personal Finance at UK
Finance
said:
“January saw higher levels of repayments on
credit cards, which is expected at this time of year as customers
pay off their festive spending. Meanwhile, households were
careful with their outgoings as wage growth remains below the
inflation rate.
“Gross mortgage lending in January increased by
almost 10 per cent compared to the same period last year, and was
higher than the monthly average, as customers took advantage of
mortgage deals on offer at the end of 2017.”
Stephen
Pegge, Managing Director, Commercial
Finance at UK Finance added:
“Business sentiment remains positive with
confidence in short term trading conditions buoyed by the
recovery in international markets. Investment levels remain
broadly unchanged and borrowing continues to err on the side of
caution, as companies adopt a ‘wait and see’ attitude to trading
uncertainties, opting to use their deposits as buffers for
spending decisions.”
