U.K. Consumer Borrowing Cools as Slowdown, BOE Action Take Toll

  • Unsecured lending rises 9.8%, slowest since April last year
  • BOE officials have warned of pockets of risk in lending

Pedestrians walk past a window display advertising a sale at a Forever 21 Inc. store on Oxford Street in London, U.K.

Photographer: Simon Dawson/Bloomberg
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U.K. consumer credit grew at its slowest pace in more than a year in July, suggesting a weakening economy and Bank of England action are making households less willing to take on debt.

Unsecured lending rose 9.8 percent from a year earlier, the least since April 2016 and down from 10 percent in June, the U.K. central bank said on Wednesday. It grew 1.2 billion pounds ($1.6 billion) on the month, well below the 1.6 billion pounds averaged this year.