There were 30,774 remortgage approvals in December 2016, 30% more than December 2015.
December was the best month for remortgage approvals since October 2008, BBA statistics have revealed.
There were 30,774 remortgage approvals in December 2016, 30% more than December 2015.
Across the whole of 2016 there were 15% more remo approvals than in 2015.
Overall gross mortgage borrowing reached £12.6bn in December with 43,228 mortgages, an increase of 3.6% year-on-year.
Meanwhile consumer credit grew by 6.6% and business borrowing fell by £2.8bn year-on-year.
Rebecca Harding, chief economist of the BBA, said: “Remortgaging approvals were 30% higher than December 2015, reflecting borrowers’ desire to “lock in” lower interest rates ahead of a potential rise later this year.
“Overall, we’ve seen high levels of consumer and business borrowing, although there are early indications that 2017 could see softer demand for credit from business and households, as they anticipate future interest rate rises and wait for further clarity on Brexit.
“Consumer credit continued to be strong in December despite weaker retail sales.
“However, reduced demand for business borrowing may signal plans for investment are being deferred or funded through retained earnings until there is more certainty on the UK’s economic prospects after Brexit.”
