Mortgage lending by British banks picked up slightly in May, but growth was below the recent average, the British Bankers' Association said today.
Underlying mortgage lending rose by £4.3 billion in May, more than the £4 billion rise reported for April, the BBA said.
Nevertheless, the increase was below the average £4.5 billion rise over the last six months.
"Though May saw stronger lending to individuals from what now look like very subdued April figures, there is little change in the relatively weaker trends seen since the turn of the year," said David Dooks, director of statistics at the BBA.
BBA said consumer credit was markedly weak again in May, matching sluggish retail sales reports. Credit card lending rose by just £117 million after a rare net repayment by credit card holders in April.
Separate figures from the Building Societies Association showed mortgage approvals fell in May - the first monthly drop since November - to their lowest value since January. Net advances were down on the month and 11 per cent lower on a year earlier to £1.069 billion.
"In the absence of major shocks, the market is likely to continue to be subdued but stable," said BSA director-general Adrian Coles.