UK mortgage approvals lowest since December 2023; diesel hits new record high near £2 a litre – business live
TL;DR
UK mortgage approvals have fallen to their lowest level since the end of 2023. New Bank of England data shows only 54,918 home loans were approved in August on a seasonally adjusted basis, as rising borrowing costs deter buyers. The average two-year fixed mortgage rate is 5.93 percent and the five-year fixed rate is 5.94 percent. Diesel prices also hit a new record high near 2 pounds a litre.
Nauti's Take
Fewer approvals could take some heat out of the UK housing market, giving cash-rich buyers a stronger negotiating position. The risk sits with borrowers facing refinancing near 5.9 percent and an economy squeezed by record diesel prices.
This is only loosely AI-relevant, but anyone selling into the UK should plan for weaker consumer spending.
Sources