UK Mortgage approvals
The rate of growth on UK mortgage approvals slowed a little in October, a sign that will be welcomed by those concerned about overheating in house prices. Mark Carney the governor of the BOE has already signalled a more proactive approach through the announcement of an overall leverage ratio and reaction to this may already be manifesting via stricter lending conditions.2 December 2013
House purchase loans grew to 67,701 the highest since February 2008.
However, the bouyant November purchasing manager index figures (PMI) and the healthy UK PLC order book, the highest since 1994, will give some comfort to the Chancellor, indicating the recovery is more broadly based than just the housing market.
A stronger UK economy will draw in more investment and with it greater demand for Jersey services from international investors.