Latest data released by the BOE - 29 October 2020
- Prior 84.7k; revised to 85.5k
- Net consumer credit -£0.6 billion
- Prior £0.3 billion
Slight delay in the release by the source. Mortgage approvals continue to soar towards the end of Q3, reaffirming that the UK housing market has bounced back strongly from the lockdown measures seen in Q2.
However, consumer credit growth continues to slump with the September reading reflecting a 4.6% y/y drop - the largest on record.
Although the economy may be showing signs of a recovery in Q3, domestic credit conditions suggest that there might be a more of a struggle in the longer-term.
Back in the 08-09 crisis, it wasn't until 2010 that consumer credit really picked up, but the fear here is that it may take longer as the crisis is a more protracted one.
