DAVY VIEW

This morning’s Banking & Payments Federation Ireland (BPFI) data show €1.45bn of mortgage approvals in July, up 13% on 2021 and the second highest on record. This reflected 148% growth in re-mortgaging and top-up activity to €441m as households prepared for ECB rate hikes. The €1bn of approvals for house purchase were strong but down 8% compared with the peak July month for approvals in 2021. Given pent-up demand, this negative growth is not likely to be evidence of any marked slowdown in activity.