Money and Credit - December 2016

Our monthly Money and Credit statistical release is made up of three parts: broad money and credit, lending to individual and lending to businesses.

Published on 31 January 2017

Key points from the data to the end of December 2016 include:

Broad money, M4 excluding intermediate other financial corporations, increased by £10.9 billion in December (Table A) with positive flows across all sectors (Tables B-D). Within this, the household M4 flow was £3.6 billion, weaker than its recent average.
Sterling lending to the UK private sector, M4L excluding intermediate other financial corporations, also increased with positive net lending to households and non-intermediate other financial corporations (Tables B and D).

Lending secured on dwellings rose by £3.8 billion in December, the highest flow since March 2016 (Table H).
Approvals of loans secured on dwellings for remortgaging continued to rise and at 47,721 were higher than the previous six-month average (Table I). Approvals for house purchase were 67,898, broadly in line with recent months.
Net flows of consumer credit slowed in December to £1.0 billion (Table J), with both credit card lending and other loans and advances below their recent averages (Table K).

PNFCs’ net finance raised from monetary financial institutions and capital markets was £2.3 billion in December (Table L).
Loans to non-financial businesses decreased by £2.1 billion in December, compared to the previous six-month average increase of £1.2 billion (Table M). Within this, loans to large businesses decreased by £1.8 billion.