LONDON (AFX) - Total sterling lending by major British banks to the UK private sector rose by a seasonally-adjusted 5.773 bln stg in June, compared with a 7.352 bln stg rise the previous month, according figures released by the British Bankers' Association.
The BBA said the rise was much weaker than the underlying rise of 9.519 bln in May, although much in line with the recent underlying monthly average of 6.860 bln over the previous six months. Total borrowing by private individuals rose by 3.928 bln stg in June, compared with a 1.844 bln stg rise the previous month. Of this, credit card borrowing rose by 101 mln, compared with a 249 mln increase in May.
Mortgage lending rose by a seasonally-adjusted 3.099 bln stg in June, compared with an underlying rise of 3.089 bln in May. Lending to financial companies fell a seasonally-adjusted 1.475 bln stg, compared with a rise of 4.313 bln stg seen a month earlier. Lending by securities dealers was down 2.505 bln stg, compared with a 2.072 bln stg rise in May.
On the liabilities side of banks' balance sheets, individuals' deposits rose in June by a seasonally-adjusted 2.859 bln stg, against May's 1.717 bln stg rise. Commenting on the figures, BBA chief executive Ian Mullen said: "There may be signs in these figures of personal borrowing easing. The previous month's increase in mortgage lending was repeated, so we may have reached a (nevertheless high) plateau on that front."