UK Household and Business Borrowing Rises, Mortgage Approvals Fall

The Bank of England's Money and Credit release for August shows that UK household and business borrowing has increased. Net mortgage borrowing by individuals rose to £4.4 billion, still below the six-month average of £5.2 billion. The number of net mortgage approvals for house purchases fell to 54,900 in August, which is lower than the previous six-month average.

However, consumer credit borrowing increased to £2.5 billion in August, surpassing its six-month average. Private non-financial corporations borrowed a net £7.7 billion in August, while M4ex sterling money holdings rose to £16.2 billion, indicating stronger credit and liquidity trends.