The Bank of England said today that mortgage lending fell slightly in June but the numbers remain high.
The continuing strength of mortgage lending supports economists' views that recent interest rate rises have not dampened consumer demand for debt.
Consumer credit also rose sharply, by £2.05 billion sterling, its largest monthly rise since October 2002 and well above analysts' expectations of a rise of £1.7 billion. The data also showed Briton's total debt hitting £1 trillion.
However, mortgage approvals slowed to 114,000 from 124,000 in May, suggesting that future months may bring about a moderation in mortgage lending and in strong house price rises.
Yesterday, Bank of England chief economist Mr Charlie Bean said booming house prices were one argument for more rate increases in the near term, to avoid the risks that a sharp correction in house prices poses to the economy.
The data follow figures from the British Bankers' Association earlier this month, which showed mortgage lending hit record levels in June and that loan approval levels remained high.