Black & White Bridging comment on MLAR data

09 September 2025

Martyn Smith, CEO, Black & White Bridging commented:

“Today’s MLAR data paints a picture of increasing buyer confidence. Although the value of gross mortgage advances is down on last quarter, new mortgage commitments and remortgages are on the up, a clear sign of increased borrower activity, likely spurred on by the recent base rate cut.

“We can see evidence here of increasing appetite even amongst those with smaller deposits as the share of advances with LTV ratios exceeding 90% rose again to 7.1%, the highest figures since 2008. Of course, this is also reliant on increased risk-taking from lenders, which is clearly necessary with rising inflation putting pressure on the cost of living and a buyer’s capacity to save.

“Although it would hit savings, further interest rate cuts are the only way to increase buyer confidence further and keep up borrower momentum. Lenders will need to remain agile and flexible to those with lower up-front deposits, at least until the inflation versus base rate balance settles.”