There is growing evidence that the economy is finding a new gear after more than a year of disruption from the coronavirus, with two activity readings showing record growth rates for this century.
First, data from the Bank of England showed the largest net increase in mortgage lending on record in March – thanks to tax breaks, including a stamp holiday for England and Northern Ireland which was extended at the budget.
A closely watched reading of health in manufacturing showed growth had reached speeds not seen since 1994 in April.
The Bank revealed that mortgage borrowing rose by £ 11.8 billion – the biggest increase since records began in 1993.
He said lenders approved 82,735 mortgages in March, down about 5,000 from February as activity increased in anticipation of an easing in the market. COVID-19[female[feminine foreclosures, low interest rates and new opportunities for tax savings.
Buyers have been scrambling for properties with outdoor space since last summer, with separate data showing prices rising by levels not seen for more than six years even before Chancellor Rishi Sunak postpones the date for the conclusion of the stamp duty holiday, which will decrease from the end of June.
In all the countries reported last week that asking prices rose at the fastest monthly rate since 2004 in April.
As residential real estate experiences a boom, the latest manufacturing data points to an 11th consecutive month of growth.
The IHS Markit / CIPS Purchasing Managers Index (PMI) hit 60.9 in April after reading 58.9 the month before.
Anything over 50 is considered a growing industry.
The survey credited the growth in output with the easing of foreclosure restrictions, improving demand and increasing backlogs of work.
It comes on top of a similar PMI snapshot covering the plant’s services sector, with final numbers expected later in the week.
The UK economy is expected to signal a slight contraction in the first quarter of the year, with the effects of the latest lockdowns being felt after the worst annual contraction in over 300 years in 2020.
Economists largely expect a rebound over the remainder of the year, with the Office of Fiscal Responsibility forecasting growth of 4%.
But Rob Dobson, director of IHS Markit which compiles the PMI survey, said that while the outlook was better, there were headwinds for manufacturing growth with implications for inflation forward.
He wrote: “The sector also remains plagued by supply chain issues and mounting inflationary pressures.
“The disruptions following Brexit and COVID-19, in particular in ports, have caused an almost record additional lengthening of supplier delivery times.
“The resulting input shortages have kept producer price inflation among the highest in the past four years.
“Manufacturers have generally passed these costs on to customers, as evidenced by a record rise in selling prices, but it is hoped that this inflationary environment will subside once the supply and demand of
The logistical delays linked to Covid make it easier. “