Household lending down 3.7% last month

December saw a further annualised drop in household lending levels, with a 3.7% fall noted by the Central Bank.

The figures, published yesterday, also note loans for house purchase — which traditionally make up more than 80% of household loans — declined by 2.7%, year-on-year, in the month. Lending for consumption and other purposes declined by 7.5%.

The Central Bank data also showed household loan repayments exceeded draw-downs by €43m in December, following a net monthly decline of €335m in November. Last month’s figures were driven by a €100m decline in loans for “other purposes”.