Gross mortgage lending fell by over £2bn in April, according to the Council of Mortgage Lenders (CML), giving the UK its lowest level of lending since April 2011.
Duncan Kreeger Chairman of West One Loans commented "If the eurozone crisis takes another serious turn for the worse – as looks likely – then mortgage lending to first time buyers could enter a state of near-paralysis. There is a big funding gap between supply and demand. Underlying borrower demand is actually very healthy, but banks and building societies don't have the capacity to meet it. Not by a long shot. Net mortgage lending is 90% lower than it was pre-2008, and borrowers have to cross a painfully high threshold to get high loan-to-value mortgages."
Mortgage Solutions, one of the first to run the story included Duncan's comments and to read the full article please click here.