Tuesday, September 01, 2009
Net lending falls, manufacturing PMI slips
Posted by David Smith at 10:30 AM
Category: Thoughts and responses

The eyecatching figure from the Bank of England today was that net lending to consumers fell in July for the first time since comparable records began in 1993. Overall lending dropped by 0.6 billion, with net mortgage lending down by 0.4 billion. Note that this was not the first time overall personal debt, currently 1,456.9 billion, has fallen, as the BBC is reporting on its website - it has dropped four times this year, for example.

Mortgage approvals continued to rise, hitting 50,123 in July, up by 2,232 on June and more than 50% up on a year earlier. More details here.

The purchasing managers' index for manufacturing slipped from 50.2 to 49.7. Disappointing but still consistent with modest growth for the sector. Even so the data has started September in a somewhat downbeat way, as has the stock market, though that mainly reflects international developments.