For the first time ever credit card outstandings for January increased over December, rising by GBP 296 million. However, year-on-year growth for credit card outstandings has been slowing, from an 8.6% rate in November to 7.8% for December to 7.5% for January. According to the The Bank of England, net credit card lending edged up to GBP 53.0 billion in January from GBP 52.8 billion in the prior month and compared to GBP 49.3 billion one-year ago. BOE noted that the GBP 300 million increase in January was boosted by a GBP 200 million desecuritization. The increase in total net lending to individuals in January (GBP 1.1 billion) was lower than the December increase and the previous six-month average. The twelve-month growth rate continued to fall, by 0.5 percentage points to 3.1%, and the three-month annualized growth rate slowed by 0.1 percentage points to 1.3%. The increase in net consumer credit in January (GBP 0.4 billion) was above the increase in December but below the previous six-month average. The annual growth rate of consumer credit continued to slow, to 4.6%; the three-month annualized growth rate fell by 0.4 percentage points, to 2.4%.
NOTE: Chart does not include about GBP10 billion from specialist lenders, retailers, and insurance companies. SOURCE: Bank of England