FX.co ★ UK Mortgage Approvals Fall More than Expected

In February 2025, the UK's net mortgage approvals for house purchases—a key indicator of future borrowing—dropped by 600, bringing the total to 65,500. This figure fell short of the market forecast of 66,000 and followed a decline of 400 in January. Meanwhile, approvals for remortgaging with a different lender fell by 800 to 32,000 in February, after experiencing an increase of 2,100 in January. The 'effective' interest rate, or the actual interest paid, on newly drawn mortgages rose by 2 basis points to 4.53% during the same period. Additionally, the rate on the existing stock of mortgages climbed to 3.87% in February, up from 3.81% in January.