UK homeowners repay £1.4bn more mortgage debt in July than they borrow

Tapering of stamp duty holiday in England and Northern Ireland fuels drop in housing market activity

UK homeowners made a rare net repayment of mortgage debt in July as the tapering of the stamp duty holiday in England and Northern Ireland fuelled a drop in housing market activity after a record June.

The Bank of England said individuals collectively paid back 1.4bn more of mortgage debt than they borrowed, in the first net repayment since the housing market ground to a halt during the first wave of Covid-19 in April 2020.