UK mortgage approvals up 76.8 pct y/y in Sept-BBA

LONDON Oct 23 (Reuters) - The number of home purchase loans approved by British banks in September jumped 76.8 percent on the same month a year ago, a survey showed on Friday.

The British Bankers' Association said 42,088 mortgage applications were approved last month. That was slightly more than the 40,841 approved in August but 76.8 percent up from last year when activity ground to a halt due to the credit crisis.

The figures chime with other surveys showing record low interest rates have helped stabilise Britain's housing market after sharp price declines last year.

"Mortgage lending by the high street banks is continuing to improve from the lows seen earlier this year and the number of house purchase approvals continues to recover. Housing market activity will depend, however, on more properties coming on to the market," said BBA Director of Statistics David Dooks.