§ Mr. Steve WebbTo ask the Deputy Prime Minister pursuant to his Answer of 12th December,Official Report, column 470W, on new mortgage lending, if he will provide corresponding estimates for new mortgage lending that was not for house purchase; and if he will estimate the total amount of new mortgage lending in the last 12 months that was (a) for house purchase and (b) not for house purchase. [88931]
§ Mr. McNultyVariable/Fixed rate lending. The estimated percentages of remortgages or further loans taken out in each of the past 12 months with an initial interest rate that was(a) variable and (b) fixed are shown in the table below. Also included, for comparison purposes, are the equivalent figures for new mortgages.
New mortgages for house purchase Remortgages or further loans Month Variable Fixed Variable Fixed 2001 Dec 83.6 16.4 91.6 8.4 2002 Jan 67.4 32.6 86.1 13.9 Feb 70.2 29.8 88.8 11.2 Mar 71.5 28.5 90.8 9.2 April 73.9 26.1 91.9 8.1 May 76.9 23.1 93.8 6.2 June 79.1 20.9 94.4 5.6 July 81.8 18.2 94.9 5.1 Aug 82.6 17.4 94.5 5.5 Sep 80.7 19.3 94.5 5.5 Oct 77.3 22.7 92.5 7.5 Nov 71.0 29.0 89.8 10.2 Source:
ODPM, Survey of Mortgage Lenders
It should be noted that loans taken out at an initial fixed rate of interest are likely to revert to a variable rate of interest after a fixed period of time, unless of course the borrower then chooses to remortgage (again) at another fixed rate of interest.
New mortgage lending, December 2001-November 2002
Gross mortgage lending in each of the last 12 months is shown in the table, together with the total for the 12 month period December 2001 to November 2002.
272WS
Month Mortgage lending for house purchase £million Other new mortgage lending £million 2001 Dec 5,964 5,970 2002 Jan 6,449 6,814 Feb 8,908 6,940 March 11,131 7,429 April 12,162 8,200 May 13,686 9,678 June 11,185 8,006 July 12,368 9,818 Aug 9,685 8,914 Sept 9,805 9,342 Oct 11,089 11,333 Nov 10,186 11,155 Total 111,618 103,599 Source:
Bank of England