Bank of England Money and Credit Report – January 2026
March 2, 2026
Overview
These monthly statistics on the amount of, and interest rates on, borrowing and deposits by households and businesses are used by the Bank’s policy committees to understand economic trends and developments in the UK banking system.
Key points:
- et borrowing of mortgage debt by individuals decreased to £4.1 billion in January, from £4.5 billion in December, below the previous 6-month average of £4.5 billion.
- Net mortgage approvals for house purchases decreased to 60,000 in January, below an average of around 64,100 over the previous 6-months. Approvals for remortgaging decreased slightly to 38,100 in January from 38,400 in December.
- Net borrowing of consumer credit by individuals increased to £1.8 billion in January, from £1.7 billion in December, in line with the previous 6-month average of £1.8 billion. Within this, net borrowing through credit cards was £0.9 billion in January, up from £0.8 billion in December. Net borrowing through other forms of consumer credit (such as car dealership finance and personal loans) remained unchanged at £0.9 billion in January.
- Private non-financial corporations (PNFCs) borrowed, on net, £5.1 billion of finance in January, following net repayments of £1.2 billion in December. Within total net finance raised, bank loans amounted to £2.8 billion of borrowing in January, following £6.2 billion of net borrowing in December.
- The net flow of sterling money (M4ex) was -£7.1 billion in January, compared to £13.9 billion in December. This was largely driven by NIOFCs and PNFCs decreasing their holdings of money by £6.3 billion and £5.0 billion respectively. These decreases were partially offset by households increasing their holdings of money by £4.2 billion, within this households deposited £5.2 billion into ISAs, £3.1 billion into non-interest-bearing deposit accounts and £2.5 billion into interest-bearing sight deposit accounts.
- The flow of sterling net lending to private sector companies and households (M4Lex) was £10.5 billion in January, compared to £13.1 billion in December. January’s lending was driven by households, PNFCs, and NIOFCs borrowing £4.8 billion, £2.9 billion and £2.8 billion respectively, compared to borrowings of £5.5 billion, £5.1 billion and £2.5 billion respectively in December.
Nathan Emerson, CEO of Propertymark, comments:
“As we progress further into 2026, we are continuing to see movement across the housing market, though the latest figures suggest a period of moderation rather than acceleration.
“Encouragingly, Propertymark member agents are reporting a near 25% increase in the number of viewings per available property compared to twelve months ago, demonstrating that buyer interest is clearly present. However, we are yet to see this heightened activity fully translate into completed transactions, reflecting an evident degree of caution among consumers.
“Although affordability conditions have improved compared to a year ago, many buyers are still carefully assessing their financial position before committing. We anticipate confidence will strengthen gradually as stability around borrowing costs continues to filter through, but for now the market is adjusting at a steady and measured pace.”
You May Also Enjoy
England tightens planning rules to save local pubs
Turning pubs into housing or offices will be made harder as part of changes to government planning rules in England. Under the updated National Planning Policy Framework (NPPF), anyone seeking to change the use of a beloved local venue must now provide strict proof that the business cannot survive, including evidence that it has been…
Read More 
UK modern method auction house sales up nearly 15%
UK house sales via modern method auctions increase nearly 15% year-on-year New data from leading estate and lettings agency network shows growing appetite for modern method auctions, with completion times 43% quicker on average versus traditional methods Modern method auction (MMoA) sales are gaining ground in the UK housing market. New data from Lomond, the UK’s leading network of lettings and sales…
Read More 
London’s garden squares commanding huge market premiums
The latest research by London lettings and estate agent, Benham and Reeves, has revealed that homes surrounding some of Prime London’s most prestigious garden squares continue to command huge values even in cooler market conditions, with buyers paying property premiums as high as 175% compared to the wider borough. Wilton Crescent Garden, located on the…
Read More 
Full Steam Ahead to Fast-Track More Homes Near Stations
Thousands of quality homes to be built closer to stations, cutting commute times and helping families live closer to work, school and transport New planning rules will fast-track building quality homes near transport hubs in England Part of the biggest rewrite of planning rules in over a decade to build homes faster, drive good growth, unlock investment, jobs and education opportunities Thousands of new homes will be built around England’s train, tram and underground stations under new planning…
Read More 
Breaking Property News 17/8/26
Daily bite-sized proptech and property news in partnership with Proptech-X. New regional property roadshow to generate conversations with vendors, buyers and homeowners Fine & Country West Wales, in partnership with Homes of Wales, is launching a new regional property roadshow designed to generate conversations with vendors, buyers and homeowners whose moving plans have…
Read More 
Largest August price drop since 2018 despite mini Burnham bounce in demand
Average newly-listed asking prices drop by 2.0% (-£7,360) this month to £364,999, a much larger than usual August drop: Many summer sellers slash their price expectations in reaction to the quieter holiday period and 12-year high number of homes for sale at this time of year Average prices are now 1.0% lower than a year…
Read More