Loans to Irish households fell 2.8 per cent in July, new data from the Central Bank has shown, while lending to companies showed a decline of 6.9 per cent year on year.

The figures showed household loan repayments exceeded drawdowns by €346 million during the month, continuing a trend seen the previous month, as the number of loans issued for house purchases fell. During July, the number of loans drawn down for consumption and other purchases fell by €99 million. Year on year, loans for houses declined by 2.6 per cent, while other loans fell by 3.5 per cent compared with 2014.

Ireland’s companies continued to decline in July, although the pace slowed from June when lending fell by 7.4 per cent.

Repayments exceeded drawdowns by €197 million in the month, and €4.1 billion year on year. Long term loans were down €349 million in July, with short term loans declining €323 million.

However, year on year, loans over one year and up to five years showed a rise, growing by 14.4 per cent. These loans represent the smallest share of company loans.

Irish private-sector deposits increased during the period, with household deposits accounting for 54 per cent of the €175 billion recorded at the end of July.

The household sector showed a rise of €673 million in July, and €2.1 billion in the year.

Company deposits meanwhile were up €1.4 billion, the first increase since April 2015 and driven by the overnight category.

Credit institutions borrowed an additional borrowings €2.6 billion from the Central Bank as part of Eurosystem monetary policy operations during July, with the outstanding stock of these borrowings at €14.8 billion at the end of the month.