Mortgage lending is on an “upward trajectory” after a slow start to the year, a lenders’ group has said.

Figures show that lending to first-time buyers and home movers increased in the third quarter of the year compared with the previous three months.

The Council of Mortgage Lenders (CML) have said it has also been on the rise compared with the same period last year.

Many borrowers are seeing the benefits of low costs owing to the continuing record low in the Bank rate.

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “With summer out of the way, lenders have an eye on year-end targets, and with the Bank of England hinting that interest rates might not rise next year, there are some very competitive deals to tempt borrowers.”

The CML said that gross mortgage lending totalled £61.4bn in the third quarter of the year. This was up 18% on the previous quarter and a 12% rise on the third quarter of 2014.

Overall in the third quarter, the value of homeowner loans for house purchases accounted for 57% of gross lending. Remortgage activity was 24% of lending, and buy-to-let accounted for 18%.