CML reported gross mortgage lending was £24bn in February, a 7% fall from January and warned on “ongoing problems” if something isn’t done soon.

"We have entered a substantially slower phase in the housing market and there will be ongoing problems in the mortgage funding markets unless the Bank of England makes new, broader based attempts to improve levels of liquidity in the UK," said, CML director general, Michael Coogan.

"Demand for mortgages remains strong but cannot be fully met from existing funding."

"As credit conditions change markedly from day to day, lenders will continue to rapidly adapt their products and pricing to match. This is a vital response to the uncertain conditions," he said.

This is cause for concern for millions of mortgage holders who are coming to the end of their fixed term this year and face a struggle to make repayments on a higher rate.