Mortgage approvals fall 15% to 56,205 in May, the lowest since December 2023

Bank of England Money and Credit data, published 30 June, shows house-purchase approvals dropping to 56,205 in May from 66,034 in April, the lowest since December 2023, with net mortgage borrowing falling to £2.9bn from £4.4bn. Households paused major commitments as rate expectations swung on the energy-price spike, and the average rate on newly drawn mortgages rose to 4.22%. For sellers, this means fewer proceedable buyers in the market and a stronger case for realistic asking prices; for buyers, less competition means more negotiating room. The caveat: this is a snapshot of May, and lender rate cuts since mid-June may already be reviving activity.