Jan 3 Reuters British consumer lending grew at the weakest pace since mid2022 in November and lenders approved fewer mortgages than expected, according to Bank of England data released on Friday which chimes with other indications of a slowing economy.

The annual growth rate of consumer credit cooled in November to 6.6 from 7.3, its slowest pace of expansion since June 2022, the BoE data showed.

Britain39;s economy stagnated in the three months to September and the BoE estimated last month that it was continuing to flatline in the fourth quarter a disappointment for the new Labour government which promised to boost growth when it published its Oct. 30 budget.

November39;s money and lending data suggests that households39; caution with their borrowing and saving ahead of the Budget hasn39;t gone away, said Elias Hilmer, economist from consultancy Capital Economics.

This adds further downside risk to our forecast for GDP to stagnate in Q4, he added.

Finance minister Rachel Reeves announced big tax increases on businesses and a rise in government borrowing to help fund more public spending and investment but business surveys have deteriorated since the budget.

Some economists think higher public spending will temporarily boost Britain39;s economy in 2025, although the outlook is clouded by the possibility of global trade frictions spurred by the policies of U.S. Presidentelect Donald Trump, and a worsening euro zone economy.

So far the housing market has been…