As Britain's property-market slump shows signs of easing, British mortgage approvals for house purchase elevated more than economists' forecast in April to the highest level in a year, reinforcing higher demand for homes.

But official data showed on Tuesday that UK mortgage approvals are still at a downcast level that points to further house price falls.

According to the data compiled by The Bank of England, there were 43,201 mortgage approvals in April, up from 40,038 in March and better than analysts' forecasts of 41,000.

However, the number of mortgage approvals was still less by 21.9 % as we compare it with last year's level of 55,280 in April 2008.

As far as Consumer credit issuance is concerned it showed stronger signs than forecast at 314 million pounds in April, but still it lingered at a very low level.

The (PMI) influential purchasing managers' index rose to 45.9 in May, from 38.1 in April. In February it was at record low of 27.8.

Now the index is heading towards the decisive dividing line between contraction and growth viz. 50.0.

Howard Archer, chief UK and European economist at IHS Insight, said, "The further rise in mortgage approvals. The housing market activity is trending up modestly as it is supported by sharply reduced mortgage interest rates and the substantial fall in house prices from their 2007 peak levels."

However, he further said that mortgage activity was still at a down level that was consistent with falling house prices.