Westpac volumes continue to fall

The Australian Prudential Regulation Authority (APRA) has released the November edition of its Monthly Authorised Deposit-taking Institutions Statistics (MADIS) report, which has revealed a $400-million decline in Westpac’s mortgage portfolio in the month ending 30 November. 

The bank’s total lending portfolio fell from $409.0 billion at the end of October to $408.6 billion at the end of November, largely driven by a $600-million decrease in its investment portfolio, down from $182.3 billion to $181.7 billion. 

Despite an overall decline, the major bank’s owner-occupier volumes increased marginally from $226.7 billion to $226.8 billion in November. 

Westpac’s decline in its mortgage portfolio has slowed since the October edition of the MADIS, which reported a larger $2.3-billion contraction in its total lending book. 

ANZ also witnessed a slight contraction in its total mortgage portfolio, falling by $100 million to $246.6 billion in November, also largely driven by a decline in housing finance for the purposes of investment. 

ANZ’s investment book declined by $300 million, from $86.4 billion in October to $86.1 billion in November, whereas its owner-occupier portfolio increased modestly from $160.3 billion to $160.5 billion.

According to the MADIS, NAB’s mortgage portfolio held flat at $261.2 billion in November. 

While the major bank’s investment portfolio declined by $700 million over the month, this fall was offset by a $700-million rise in its owner-occupier book. 

The Commonwealth Bank of Australia continued to outperform the other banks, being the only bank of the big four to experience an increase in both its owner-occupier and investment portfolios, as well as the only major to increase its lending to investors. 

CBA’s total portfolio increased by $2.2 billion in November to $442.7 billion, as owner-occupier volumes increase by $1.8 billion from $284.7 billion to $286.5 billion. 

The big bank’s investment volumes also increased by $400 million to $156.2 billion, making CBA the only major bank to increase its investment portfolio in the month ending 30 November, according to APRA’s report. 

[Related: Westpac woes continue as it fails to ‘get mortgages going’]