Mortgage Lenders and Administrators Statistics - 2018 Q3

The Mortgage Lenders and Administrators Return (MLAR) is a quarterly statistical release aggregated from data on mortgage lending activities provided by around 340 regulated mortgage lenders and administrators.
Published on 11 December 2018
  • The outstanding value of all residential mortgage loans continued to increase in 2018 Q3 to £1,430 billion, 3.2% higher than a year ago (2017 Q3) (Table A)
  • The value of gross mortgage advances grew 3.7% in the year to 2018 Q3, to £73.5 billion. This was the highest level since 2007 Q4 (Table A and Chart 1)
  • New mortgage commitments (new lending that lenders have agreed to advance in coming months) were 4.7% higher than a year ago (Table A and Chart 1)
  • The share of new lending for buy-to-let (BtL) purposes declined to 12% in Q3, its lowest since 2012 Q4 (Chart 5)
  • The share of new lending to first-time buyers remained steady at 21% (Chart 5)
  • Remortgaging, as a proportion of new lending, is 2 percentage points higher than a year ago. However, it decreased marginally on the quarter to 30% (Chart 5)
  • The proportion of high loan-to-income (LTI) lending (loans above four times the value of annual income for a single buyer or above three times the annual income for joint buyers) has increased 1.7 percentage points this quarter to 47% (Chart 4). The share of loans with a loan-to-value (LTV) ratio exceeding 90% also increased, to 4.3% (Chart 3)
  • The value of outstanding mortgage balances with some arrears increased for the first time since 2016 Q2 to £14.5 billion, compared to £14.3 billion in 2018 Q2. These balances still account for only 1% of the total (Chart 6)

PDFMortgage lenders and administrators statistics release - 2018 Q3

 

Long run versions of the summary and detailed tables are now available in Excel format, for data going back to Q1 2007. These have been sourced from data published by the FSA on their archive pages prior to Q1 2013 and data published by the Bank of England from Q1 2013.

Please note:

We are aware of an issue regarding the increase in administered arrears from Q3 2016 and we are investigating, along with the FCA, the cause and possible solutions. We found there was an issue in our firm reporting data for administered arrears where the category of ‘other’ administered loans, which should not have been reported to us, was being included. This inflated the arrears figures published. We have since requested a resubmission of reports and as a result we are expecting to restate the arrears figures in the forthcoming publications.

If you have any comments or queries about this release please email mlar@bankofengland.co.uk.

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