Households Repaid Record Sum of Consumer....>

UK DATA: Households Repaid Record Sum of Consumer Credit 

- MAR Net Consumer Credit -GBP3.841bn vs FEB GBP0.935bn 

- MAR Mortgage Approvals 56,161 vs FEB 73,674 

- MAR Net Secured Lending GBP4.796 vs FEB GBP4.296bn 

- MAR M4 +2.8% m/m, 8.1% y/y vs FEB +0.4% m/m, +5.1% y/y 

- MAR M4 ex-IOFCs +2.5% m/m, +7.4% y/y vs FEB +0.3% m/m, +4.6% y/y

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Net consumer credit recorded the lowest reading on record in Mar, as households

repaid GBP3.8bn. This led to a fall in the annual growth rate to 3.7% in Mar,

its lowest since Jun 2013. Mortgage approvals dropped by 24% to 56,161, its

lowest since Mar 2013. As a result of increased lending schemes to mitigate the

-ve effects of the pandemic, money supply rose sharply in Mar with M4ex (up by

GBP57.4bn) rising to a series high. UK business' deposits (up GBP34bn) and their

bank loans (up GBP34.1bn) both showed record increases. Meanwhile, the effective

interest rate on other loans for new businesses dropped to 6.43%, while the

effective interest rate on secured loans ticked up to 1.83%.