Net mortgage borrowing more than doubled in June 2026 as house-purchase approvals increased for a second consecutive month, according to the latest Money and Credit figures from the Bank of England.

Individuals borrowed a net £7.7bn in mortgage debt during the month, up from £3.3bn in May 2026 and above the previous six-month average of £4.9bn. Gross secured lending also increased slightly, rising from £27.2bn to £27.4bn, while repayments fell from £22.7bn to £21.3bn.

Net mortgage approvals for house purchases, an indicator of future borrowing, increased to 58,200 in June from 56,600 in May. However, this remained below the previous six-month average of around 61,400.

Approvals for remortgaging with a different lender also edged higher, rising to 34,200 from 33,800.

Borrowing costs moved in the opposite direction. The effective interest rate on newly drawn mortgages increased to 4.35% in June from 4.22% in May, while the rate on the outstanding stock of mortgages rose from 3.92% to 3.96%.

The annual growth rate for net mortgage lending increased slightly to 3.6%, compared with 3.5% in May.

The figures suggest mortgage activity continued to recover in June, although approvals remained below recent averages and borrowers faced a modest increase in effective mortgage rates.