The latest data from the Bank of England shows that the number of mortgages approved for uk home buyers fell to a record low in April.

A mere 58,000 loans were approved in April, the lowest since the bank started collecting data 15 years ago. This is less than the 65,000 predicted by economists, and 6,000 less than in March. By way of comparison, the figure 12 months ago was 107,000.

 Simon Rubinsohn, RICS chief economist believes that the figures reflect the problems of finding affordable finance in the market. He says, "the latest weak data on mortgage approvals highlights the continuing problems facing borrowers trying to secure finance to purchase property. Lenders are continuing to tighten up on the conditions accompanying new loans making it hard for first-time buyers to take advantage of the modest fall in house prices seen over the part few months.

"The 58,000 mortgages approved in April is roughly half the total sanctioned in the same month a year ago. This highlights very clearly the real problem facing not just the property market but also the wider economy. A collapse in transactions of this magnitude has major implications both for consumer spending and a wide range of ancilliary industries. Although a supportive response from the Bank of England is improbable in the near term, the persistence of such a trend could force the hand the authorities as autumn approaches."