FX.co ★ UK Mortgage Approvals Remain Solid

In October 2025, net mortgage approvals for house purchases in the UK experienced a slight decline to 65,018, down from a revised 65,647 in September. However, this figure still surpassed market predictions, which were set at 64,200. This data indicates that the housing market is showing signs of a steady recovery, helped by declining interest rates. Conversely, remortgage approvals, which monitor borrowers switching lenders, fell by 3,600 to 33,100 in October. The 'effective' interest rate on newly drawn mortgages decreased slightly to 4.17% from 4.19% in September, marking the lowest point since January 2023 when it was 3.88%, and continues the descending trend observed since March 2025. Meanwhile, the interest rate on the outstanding stock of mortgages remained unchanged at 3.89% for the third month in a row.