BREXIT BOOM CONTINUES Mortgage approvals jump as job optimism reaches new high

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Mortgage approvals jumped to a seven-month high in October as buyers flocked to take advantage of record low interest rates.

Some 67,518 loans for house purchase got the go-ahead, as a buoyant market shrugged off the usual seasonal slowdown, according to the Bank of England’s Money and Credit report.

The data proves consumer confidence has remained “healthy”, said the report, which also recorded “strong” non-mortgage borrowing.

The Organisation for Economic Cooperation and Development then published a more positive prediction for the UK economy over the next three years.

UK growth is now forecast to increase to two per cent from 1.8 per cent for this year , 1.2 per cent from one per cent for 2017 and a one per cent rise in 2018.

The Paris-based OECD says the Bank of England’s moves to shore up the economy since the EU referendum result have worked. 

These included an interest rate cut, a new funding scheme and a fresh bout of quantitative easing boosting consumer confidence.

And job optimism among the country’s public sector workers is at its highest level for four years years, according to a CIPD report, the industry body representing HR and personnel professionals.

In fact, since the June referendum, there have been growing signs of optimism across all groups in the workforce.

A sample of 2,000 workers found 63 per cent of those in the private sector, rising to 66 per cent in the public sector, are satisfied with their jobs – the highest level for the public sector since 2012.

The CIPD says any pessimism associated with the referendum result is gradually making way for a more positive outlook among workers as there is no longer the uncertainty that existed before the vote.

Almost two thirds (60 per cent) believe Brexit will make little or no difference to their development at work and a similar proportion do not believe Brexit will make any difference to the amount of investment by their employer.

CIPD research adviser Claire McCartney said: “It’s fantastic to see such a leap in job satisfaction in the public sector.

“There was a great deal of uncertainty before the referendum, so people might be feeling more settled, and many will be happy with the outcome based on their voting decision.

“Other reasons could include the optimism that usually comes with a new government, and it could be that some of the new messages we’re hearing on fairness and equality might be resonating with public sector workers.”