Lending seems to be picking up if the data released by Bank of England is to be believed. In December, there was an increase in the number of loans provided, when compared to the number of approvals done in November. The average of the last 6 months has also been beaten in the month of December. The Government had launched the scheme to boost lending, which is called as the Funding for Lending. These loans are available to not only individuals, but also businesses. The lending rates have also been decreasing and this has helped to obtain an encouraging figure
as far as the housing market is concerned. The Credit Conditions Survey, which has been conducted by the Bank of England has observed that the loans are available to people. Though the change may have only started, it is sure to
continue over a period of time. In spite of the rosy picture, there are some people who are much more cautious because the approval of mortgages has not crossed the usual average and is in fact below the average.

According to Howard Archer, who is at HIS Global Insight, there may be a gradual pick up in the market, which had its lows in mid 2012. The funding for Lending is the main scheme that seems to have helped boost the sentiments according to him. Council of Mortgage Lenders has also reported that the number of loans that have been provided to people who have applied for the first time. There has also been a general increase in the number of loan approvals, according to them. Hometrack has published the results of a survey that suggests that many of the estate agents feel that the housing market will improve from the present. The house prices have been a mixed bag over the months.

Similarly, the Building Societies Association has also released data that more than 3 billion pounds of mortgages have been approved in the month of December alone. This includes remortgaging and also house purchases. As the scheme for Lending by the Bank of England becomes more popular, there is sure to be an increase in the lending in the mortgage markets. The data from various sources also show that the credit card lending has increased over the last few months. Though the consumer credit has been on the rise, the borrowings are not strong enough. Though the borrowings have increased, the long term averages have still not been surpassed. All the data point to the fact that the consumers are not interested or are wary in obtaining new loans. The feeling is also that many people are trying to reduce the debt that they are in.