The number of loan approvals for house purchase (48,901) was higher than the February figure (46,882) but below the previous six-month average (54,201). Approvals for remortgaging (27,880) were higher than in February and also higher than the previous six-month average (25,853), while approvals for other purposes (25,484) were slightly higher than in February but below the previous six-month average of 26,696.
Commenting, Brian Murphy, head of lending at independent mortgage broker, Mortgage Advice Bureau, said: "More and more borrowers are starting to take action to protect themselves from possible interest rate rises and this is reflected in the increased number of remortgages. For people who can remortgage, that area of the market is certainly beginning to improve.
"Increasingly, there is a feeling that, however much the Bank may want to keep rates low, it may not be able to do so given rising inflation.
"Although loan approvals have risen, there may well be a slowdown in mortgage activity in the April and May data, as many prospective house buyers are currently putting everything on hold until there is greater clarity around how the next Parliament, hung or otherwise, will deal with the deficit.
"Before they commit to a long-term purchase, many prospective borrowers want to know just how hard their pockets will be hit in the months and years ahead."
