Strong month for mortgage lending

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Mortgage lending has hit a record high for the month of February, according to the Council of Mortgage Lenders (CML).

Gross mortgage lending was £24.6bn in February, 9% higher than for the same month in 2006.

The CML figures were a record for any February, but were down by 7% on the £26.6bn lent in January.

The CML said that record borrowing reflected the continued strength of the housing market and people's desire to get on the property ladder.

Likewise, the Building Societies Association (BSA) said that mortgage loans approved but not yet made had hit a record for the month of February of £5.4bn.

"These are strong figures, but we may be seeing the peak of the market," said Adrian Coles, director general of the BSA.

"The recent rate rises are still to work through fully into the mortgage market."

Meanwhile, the British Bankers' Association (BBA) said consumers had repaid a relatively small £4m off their credit card and loan debt during February.

The month before had produced a record credit card repayment of £500m.

But overall the BBA said that consumer appetite for unsecured debt - such as credit cards and loans - remained "very subdued".