Sector: Property

Mortgage lending remains lacklustre, with the Council of Mortgage Lenders (CML) having reported that the total amount of money lent in new mortgages fell back in April.

According to the CML, £10.2 billion was lent, both to home buyers and other borrowers, 12 per cent less than in
March and the lowest figure for any April since 2000.

Completed sales, according to figures released by HM Revenue & Customs, also waned slightly in April, falling by 2,000 from March to 71,000, highlighting the ongoing subdued state of the property market.

The CML said, ‘It remains a difficult market, particularly for first-time buyers without large deposits, and lenders continue to face funding challenges.’

Not that the quoted sector has been without highlights. Blue-chip British Land is preparing its first central London development since the financial crisis hit, with its £175 million plan to build a new headquarters for UBS. The company is also planning to develop its Regent’s Place estate and build new offices in Baker Street, with the plan costing British Land a total of £475 million.

House-builder Barratt Developments spurred hopes of a possible recovery in the property market after it announced a bullish trading update. It said it was on track to deliver a profit for the second half thanks to an increase in selling prices coupled with effective cost control.