The number of mortgages being approved to home buyers climbed by 3% month-on-month in June, Bank of England figures show.

Some 66,582 mortgages with a total value of £11.5 billion were approved for house purchase in June, which is higher than the longer term average of 62,971 monthly approvals.

Meanwhile, 36,620 re-mortgage loans worth £6 billion were also approved in June, which is also above the longer term average of 33,759 loans being handed out.

The Bank's figures also show that credit card lending increased by £245 million in June, up from a £240 million increase recorded in May.

Personal loan and overdraft lending increased by £976 million, marking the strongest upswing seen since March.

Howard Archer, c hief UK and European economist at IHS Global Insight, said: " High consumer confidence means that people have become more prepared to borrow in recent months, while low interest rates have also been helping consumers.

"However, there is the concern that consumers are becoming increasingly tempted to take on debt again to fund spending."

The figures were released as a separate report from the Insolvency Service found that the number of people going bankrupt across England and Wales between April and June had fallen to its lowest levels since 1990.

Last week, the British Bankers' Association (BBA) said that it has seen an increase in the number of people re-mortgaging, which could be down to savvy borrowers taking advantage of competitive deals on fixed-rate mortgages ahead of a possible rise in interest rates.

Peter Rollings, chief executive of estate agents Marsh and Parsons, said: "The energy building up in the housing market should carry it further forward.

"In London, we saw new buyer registrations climb 27% from January to June, and properties are changing hands quickly. This will cause further price rises over the summer."

Jonathan Harris, director of mortgage broker Anderson Harris, said: " The main issue for the housing market continues to be lack of stock, which will support prices to a degree and make it trickier for first-time buyers to afford a home than it might otherwise have been."

The Bank's figures also showed that lending to non-financial companies plunged by £5.5 billion in June, marking the sharpest fall since the series started in May 2011. This followed an increase of £818 million in May.

Mr Archer said: "It is vitally important for the UK's ability to generate sustained balanced growth and to lift productivity that all companies who are in decent shape and who do want to borrow - whether it be to invest to add or upgrade capacity, improve production processes, explore new markets or generally support their operations - can do so."