Mortgage approvals fall to their lowest point in more than a year as housing market cools down

The number of approved loans for house purchases dipped to 59,426 in October

New mortgage approvals dipped to their lowest in 17 months in October in the latest sign of a housing market slowdown.

The number of approved loans for house purchases dipped to 59,426 in the month, the lowest total since June 2013 according to the Bank of England.

Approvals are now 22 per cent lower than in January with analysts blaming a tightening of lending standards imposed by regulators April.

However, the Bank’s data pinpointed consumer credit rising by 6.4 per cent in the year to October — the most rapid annual jump since July 2006.

And manufacturing performed slightly better than the City expected in November according to the Markit/CIPS, whose Purchasing Managers’ Index rose to 53.5 last month, up from 53.2 in October — well above the 50 mark signalling growth.

A slump in exports to the struggling eurozone was offset by an expansion in domestic demand.

Manufacturing has now grown for 20 successive months survey, although official data puts output still around 4 per cent below its 2007 peak.