UK Mortgage Approvals Top Forecast as Interest Rates Hold Steady

According to the Bank of England, UK mortgage approvals exceeded expectations in June. The central bank reported that mortgage approvals rose to 58,200 last month from 56,565 in May. This figure surpassed the forecasted consensus of 57,100 cited by FXStreet.

However, it's worth noting that the June number is still below the average of around 61,400 seen over the previous six months. The Bank of England also released data showing net borrowing of mortgage debt rose to £7.7 billion in June from £3.3 billion.

The effective interest rate on newly drawn mortgages reached 4.35% in June, up from 4.22% in May. This comes as the central bank prepares to announce its interest rate decision on Thursday. The market expects the bank rate to remain at 3.75%.