UK mortgage approvals dipped slightly in October as speculation ahead of the Autumn Budget held back homebuyers, according to Bank of England data published on Monday 9 November.

Net mortgage approvals fell to 65,018 in October from 65,647 in September, the Bank's Money and Credit statistics showed. The figure was higher than the 64,500 forecast by economists, suggesting underlying demand remained resilient despite the monthly dip.

Approvals for remortgaging with a different lender fell by 3,600 to 33,100, the lowest since February 2025. Net mortgage borrowing fell back to 4.3 billion pounds in October from 5.2 billion pounds in September, while gross lending eased slightly to 24.5 billion pounds from 24.8 billion pounds.

There was better news for borrowers on rates. The average interest rate on newly drawn mortgages was 4.17% in October, down from 4.19% in September and the lowest since January 2023, continuing a downward trend seen since March 2025.

Propertymark chief executive Nathan Emerson said speculation around the Autumn Budget may have played a role in the fall in approvals. Households added a further 6.8 billion pounds to their bank and building society accounts in October, above the previous six-month average of 5.9 billion pounds.

Net consumer credit was 1.1 billion pounds in October, down from 1.4 billion pounds the previous month, according to the same Bank of England release, as households continued to save rather than borrow.