By Jon Sindreu
Mortgage approval figures for July due in the week ahead are set to confirm the cooling down of the U.K. housing market, economists say.
"We look for a further increase in July, but at a slower pace of around 2%, owing to banks' continuing caution about the Mortgage Market Review, the softening in some housing data and uncertainty over the interest rate outlook," HSBC said in its weekly economic outlook.
This is consistent with forecasts for a small decline in the Nationwide house price index for August to be published at the end of the week. The last forward-looking RICS indicator already expected residential prices to slow down, especially in London.
Figures for retail salesand consumer confidence are also due in the week.
"We expect both the CBI Distributive Trades survey and the GfK consumer confidence survey for August to show the recovery in consumer spending still has momentum," said Samuel Tombs, U.K. economist for Capital Economics.
Date GMT Indicator Period Forecast Previous
Aug 26 0830 BBA Mortgage Approvals Jul 44,130 (1) 43,265
Aug 28 1000 CBI Retail Sales Volume Aug 28 (1) 21
Aug 28 2305 GFK Consumer Confidence Aug -1.5 (2) -2
Aug 29 0600 Nationwide House Prices Aug -0.2%MM (1) 0.1%MM
Aug 29 0600 Nationwide House Prices Aug 10.6%YY (1) 10.6%YY
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(END) Dow Jones Newswires
August 22, 2014 13:11 ET (17:11 GMT)
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