Societies complete 29pc of new lending in Q1

On a collective basis societies lent £12.7bn on new mortgages in the first three months of the year.

Paul Broadhead, head of mortgage policy at the BSA, said: “Without the contribution of this section of the market the stock of mortgage loans across the UK would have shrunk in the first three months of the year.

“Societies hold a 20% share of mortgage balances, but have had a much greater share of the flow of new lending for some time. In the first quarter they delivered 29% of all new mortgages.

“This is partly because of competitive products and partly due to the more personal approach they take to underwriting. The trend looks set to continue in Q2, as around a third of mortgage approvals in Q1 were from building societies.”

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