Gross mortgage lending has fallen off by almost 15% during the month of January, according to the latest figures published by the Council of Mortgage Lenders. Lending within the UK housing market hit more than £14bn during the month of January, which is lower than the December figure of £16.6bn. It is also 11% lower than the same month of last year.

Bob Pannell, with the CML, commented on the gross mortgage figures, saying: “Although seasonal factors will continue to weigh on activity levels for a while longer, we expect the underlying picture to pick up over the coming months, in line with stronger earnings and employment, gentle interest rate trends and recent stamp duty changes.”

Pannell continued: “As we forecast at the end of last year, gross mortgage lending remains on course to reach an expected £222 billion this year.”

Others close to the UK housing market are quick to point out that January alone should not be an indicator of what’s to come. Demand for housing in areas which are suitable for the Help to Buy programme is building and should become even more so, as the year progresses. House price growth may have tapered off as the end of the year came closer, but consumer confidence remains high and activity should pick up as the year gets into swing.

Adrian Gill of Your Move and Reeds Rains estate agents, commented on the effects of stamp duty, saying: “The market is only just starting to feel the effects of stamp duty changes, which is taking the edge of buying, and confidence is also buoyed by low interest rates and attractive mortgage products. All the footings are in place for savvy buyers to make great deals on homes, building further on the housing recovery.”