UK mortgage approvals jump by most since November, Bank of England says

The Easter bank holiday weekend is expected to be the busiest on UK roads since 2022, with nearly 21 million leisure trips planned between Thursday and Easter Monday, according to the RAC and traffic analysts Inrix.

This represents more than 1 million extra journeys compared with last year. Warmer weather could prompt even more ad hoc trips, the RAC said.

The AA expects traffic to peak on Thursday, as many schools break up. Just over half of drivers plan to travel less than 50 miles, while one in five plan to visit friends and family. Around 10% intend to go outdoors for walking or cycling, and 5% are planning trips to DIY stores or garden centres.

Lee Morley, an AA patrol expert, said: “After what feels like a very long, wet winter, lots of families are looking forward to the Easter break. People appear undaunted by petrol prices rising above 150p a litre last Friday, when the Asda boss warned of temporary shortages.”

The RAC added that filling a 55-litre family car with diesel this Easter will cost at least £19 more than last year, while a petrol tank will be nearly £8 more, with further increases possible.

Gold has traditionally been a safe haven during times of geopolitical uncertainty, but the current Middle East conflict has bucked that trend. Prices have fallen sharply even as oil surges and inflation worries mount, leaving investors wondering whether now is the right time to buy. Rick Kanda from The Gold Bullion Company explains what’s driving the drop and what it means for long-term investors.

“Gold is usually seen as a safe haven during times of uncertainty, so the decline has caught many people off guard. The war has pushed oil prices higher, with Brent Crude up around 75% this year. Because the US is a net oil exporter, that has strengthened the dollar, and a stronger dollar puts downward pressure on gold.”

He adds: “Higher oil prices are feeding into inflation expectations. The Bank of England held rates at 3.75% in March when a cut had been expected, and the US Federal Reserve is signalling just one rate cut this year.”

Should investors buy gold now? Kanda advises a long-term view: “Gold investment should not depend on short-term market moves. It’s about whether your financial situation allows it. If you are stable and looking for a long-term store of value, the time is right. Short-term fluctuations should not drive decisions.”

On future trends, he says: “We’ll continue to see ups and downs. Stronger dollars and high oil prices are headwinds, even as gold remains near record highs. How long these pressures last depends on the conflict and its impact on inflation and interest rates.”

“Gold should not be treated as a reactive trade. If you’ve invested for the right reasons, short-term declines shouldn’t affect your confidence,” Kanda concludes.

Read more about gold here

Mortgage approvals for home buyers rose to a three-month high in February, according to the Bank of England. Some 62,584 mortgages were approved, up from 60,200 in January, marking the highest monthly total since November 2025.

Remortgaging to a new lender also increased to around 41,200, up from 38,500 in January.

The market has been volatile, with lenders hiking rates and pulling deals as the Middle East conflict pushed swap rates higher.

Karen Noye, mortgage expert at Quilter, said: “February provides a snapshot of what could have been. March saw a rapid reversal of any real progress on mortgage rates and buyer confidence. Prospective buyers holding out for lower rates will have had their hopes dashed.”

Alice Haine, personal finance analyst at Bestinvest, added: “February’s figures predate the sharp rise in energy prices. Even so, there was optimism: mortgage approvals edged up, savings increased, and consumer borrowing rose. Markets had been expecting a seventh rate cut, supported by inflation at 3.0% and weak economic growth. Those hopes are now gone.”

The effective rate on new mortgages ticked up slightly to 4.10%, and rates on existing mortgages rose to 3.95%. Rising fixed rates are now reducing mortgage choice as some lenders withdraw products.

Households deposited £5.8bn into savings accounts in February, up from £4.3bn in January, though the effective rate on new accounts slipped to 3.67%. Cash ISAs were a big focus, with £4.6bn deposited to make the most of the £20,000 annual allowance.

Haine said: “With the tax year end approaching, savers are topping up Cash ISAs to protect their money from tax on interest. Even though new caps and changes to allowances come in April 2027, acting now can help you make the most of the current tax-free limits.”

Susannah Streeter, chief investment strategist at Wealth Club, said:

House prices across the UK are behaving very differently depending on where you live. Some cities are still seeing healthy growth, while others are slowing down or even falling slightly.

We’ve pulled together the latest figures from Zoopla for February 2026, showing the average price in each city and how much it’s changed compared with this time last year. It’s a handy snapshot if you’re thinking of buying, selling, or just keeping an eye on the property market.

If you’re thinking of buying a home, you’re not alone, but demand among UK buyers has slowed in March, according to property website Zoopla. Rising mortgage rates and global uncertainty linked to the Middle East conflict appear to be prompting many potential buyers to adopt a “wait and see” approach.

Zoopla reports that agreed sales fell by 2% compared with the same time last year. The market is being propped up by committed movers who already have mortgages in place, but overall buyer inquiries are down 13% year-on-year.

Some regions, though, are holding up better than others. Sales agreed are flat or slightly higher in Wales, Yorkshire and the Humber, and London compared with last year.

Despite the slowdown in buyer demand, the number of homes for sale has increased by 6% annually, suggesting that many homeowners are still keen to move, even in the current uncertain environment.

A key factor supporting sales is that a significant portion of buyers is less affected by rising mortgage rates. Around a quarter of transactions are cash purchases, and many existing homeowners have built up equity or secured borrowing in advance, which cushions them from higher interest rates.

House price growth remains steady, with UK house prices up 1.3% year-on-year. Growth is strongest in more affordable areas, with the north west seeing prices rise 3.5% annually.

Read more about mortgages: HSBC, Barclays, Nationwide and Halifax hike mortgage costs

Millions of motorists mis-sold car loans are set to learn how they will be compensated as the finance watchdog prepares to publish its final plans for an industry-wide scheme.

The Financial Conduct Authority (FCA) will release its long-awaited decisions on Monday afternoon. Draft proposals were shared last year, but the regulator is expected to make several adjustments following more than 1,000 responses to its consultation.

The scheme will cover car finance agreements taken out between April 6 2007 and November 1 2024. The FCA estimates that around 14 million deals, equivalent to 44% of all agreements since 2007, were unfair and therefore eligible for compensation.

Consumers could receive an average of £700 per agreement, though payouts will vary depending on individual circumstances. The total cost to the industry, including both compensation and the operational costs of running the scheme, is expected to reach £11bn.

Owner‑occupiers aged 60 and over hold the majority (55%) of the UK’s net housing wealth in the UK, analysis from a property firm indicates.

Those aged 60 and over hold a total of £3.84 trillion of housing equity, Savills estimated – of which around £2.92 trillion is held in main residences, while other equity is in buy-to-let investments and other residential holdings.

Lucian Cook, head of residential research at Savills, said: “Housing is clearly a massive store of wealth in the UK, especially for older homeowners who hold high proportions of both owner-occupier and buy-to-let housing wealth.

“Much of it is concentrated in London and the South East, where owner‑occupiers aged 60 (plus) alone hold just over £1 trillion in net housing wealth.

Britons rushed to buy fuel at the pumps in the immediate aftermath of the Iran war, while spending on holidays also tumbled due to the uncertainty caused by the conflict, new data has revealed.

Figures from banking giant Barclays showed spending on fuel jumped 10.9% in the week after the US-Israel war on Iran first started on February 28.

Motorists hurried to fill up their tanks amid concerns over supply and prices as the cost of crude oil surged above 100 US dollars a barrel.

The average price of unleaded petrol has now risen past 150p a litre for the first time in nearly two years, having jumped over 17p since the conflict began, according to the latest RAC data.

Barclays said spending on fuel quickly returned to usual levels after the initial spike.

But there are mounting signs of motorists looking to fill up whenever possible.

Asda boss Allan Leighton said on Friday the chain had seen “temporary shortages” at some pumps, though he stressed the issues were not nationwide.

Fuel Industry UK, which represents the fuel sector, also said the supply of petrol and diesel was “stable”.

Half of Britons (50%) have turned to their neighbours for help over the past 12 months, a survey suggests.

Those in their 20s drove the surge in people asking neighbours for help, with requests increasing by 35%, followed by those in their 30s, up 32%, the poll for neighbourhood network Nextdoor found.

Overall, support among neighbours is up 19% year on year as people increasingly turn to those living closest to them for practical everyday help including childcare and household fixes.

One in four people in their 30s (25%) asked a neighbour for help and advice, while 21% in their 20s reported needing support with emergency repairs and fixes over the past 12 months.

Almost one in 10 Britons (9%) have turned to neighbours for childcare and school runs in the past year.

Across British communities, asking neighbours to check on homes was the most popular form of help required (36%), followed by help moving heavy items and furniture (24%).

Meanwhile, 19% of those who have not asked for help said it was because they did not know their neighbours well enough.

More than a third (37%) know their neighbours by name and regularly stop to talk, while nearly one in five (18%) have been for a coffee or drink with someone on their street in the past year.

People are set to spend more than £50 typically on Easter gifts this year, buying chocolate eggs for four people on average, according to a survey.

The average expected Easter spend is £57, buy now pay later provider Clearpay said, including items such as chocolate eggs as well as children’s activity packs and beauty gifts.

More than a quarter (27%) of shoppers plan to buy at least one egg priced over £10.

Younger adults expect to spend the most typically this Easter, with Gen Zs and Millennials anticipating spending over £100 on average, the research found.

Rich Bayer, chief executive at Clearpay, said: “Easter is a great time to show appreciation for the people in your life, but it’s important to make sure that spending doesn’t creep up, especially if you’re buying multiple gifts.”

Clearpay suggested taking steps such as setting a budget, considering non-edible Easter gifts that may be appreciated for longer and taking time to compare prices.

Half of UK households are struggling with the cost of everyday essentials, a survey suggests.

The latest Which? Consumer Insight Tracker found that 49% of households are being forced to dip into savings, sell possessions or take other measures to cover the cost of essentials.

The survey found that confidence in the future of the UK economy plummeted by 13 points to minus 56 in the month to March 13, the lowest level recorded since the end of 2022.

The watchdog said the score reflected “a deep-seated pessimism across the country”, with 67% of UK adults now expecting the national economy to worsen over the next 12 months, while just 12% think it will improve.

It found that 26% of households now regularly dip into savings to bridge the gap between their income and the rising cost of essentials – in contrast with the end of 2025 when financial stress appeared to be declining.

Confidence in the future of household finances has also hit its lowest level since April last year, falling five points to minus 15.