The number of new mortgages approved for house purchases declined in August from July, according to figures released by the Council of Mortgage Lenders (CML).

The number of new mortgages granted in August fell to 53,000 from 56,000 in July, although the figure is 29% higher than in August last year.

According to data released by major lenders house prices have been steadily rising over the last few months.

"House purchase activity has revived from its moribund state at the beginning of the year. It will be a drawn out recovery process with seasonal ups and downs, but house purchase activity is now on a firmer footing," said Paul Samter, the CML's economist.