The number of new mortgage approvals has gone up again said the British Bankers Association – and confirming more signs of a growing house market.

The BBA figures reported were 166,526 mortgage approvals (for all purposes) in February, with a total value of £15.8bn. The number of approvals was 19% higher than in January, and 5% higher than in February 2005. The average approval for house purchase rose in February, to £132,300.

Seasonally adjusted net mortgage lending (gross lending minus repayments and redemptions) rose by £4.4bn, compared with £4.6bn in January, £4.8bn in February 2005 and an average of £4.8bn over recent months.

David Dooks, BBA director of statistics, said: “The comparative weakness of the mortgage market in the first half of last year means that current indicators of activity, ie gross lending and approvals, are much stronger than they were twelve months earlier when the housing market was somewhat subdued, but they are by no means yet approaching the levels of activity seen in 2004.

Within consumer credit, card borrowing continues to be modest by historical standards, in line with current sentiment in the High Street, though there is moderate, stable demand for personal loans and overdrafts.”