Britain 'a million miles' from housing bubble: Mortgage lending fell in August Gross mortgage lending in August was £16.6billion, down by around £53million on July Recovery in the property market is both 'healthy' and 'unexceptional', according to the Council of Mortgage Lenders (CML) Lib-Dem Treasury Secretary Danny Alexander insists the country is 'a million miles away from a property bubble' New mortgage lending fell slightly in August confirming that Britain is "a million miles away" from seeing a housing market bubble. The figures were published by the Council of Mortgage Lenders (CML), which said the current recovery in the property market is both "healthy" and "unexceptional." Gross mortgage lending by banks and building societies in August was £16.6 billion, which was down by around £53million on July. The figures tie in with reports from the Office of National Statistics and estate agents which demonstrate that, outside London, there is no boom. New mortgage lending fell slightly in August, with gross lending down by around £53million on July, according to figures released by the Council of Mortgage Lenders The recovery in the market has been attributed to the Bank of England's Funding for Lending scheme, which allows finance giants to borrow up to £60billion at a low interest rate on the proviso it is loaned to home buyers and businesses. Separately, the Help to Buy scheme, which came into effect on April 1, provides first time buyers with an equity loan of up to 15per cent of the purchase price of a new build property. A second element, which launches in January, will guarantee up to £130billion of mortgages for people moving up the property ladder providing they have a deposit of at least five per cent. The August mortgage lending figure of £16.6 billion was up by some 28per cent on the same month last year, however the CML said the fact it fell compared to July made clear the market is not overheating. Its chief economist, Bob Pannell, said: "We are beginning to experience a healthy and broad-based recovery in mortgage lending activity. The August mortgage lending figure of £16.6 billion was up by some 28per cent on the same month last year. However, the CML said the fact it fell short of July made it clear that the market is not overheating We attribute much of this turnaround to the improvement in funding markets generally, and also to the Funding for Lending Scheme. The Bank of England's approvals data suggests that the positive tone for house purchase and remortgage lending will continue. On the theme of a market bubble, he said: "One tell-tale sign of a recovering housing market is the re-emergence of concerns about a housing boom. But, the housing market recovery to date appears fairly unexceptional in nature, at least compared with that of the early-mid 1990s. Lib Dem Business Secretary Vince Cable (pictured) has stoked concerns about a property bubble Latest figures from the Office for National Statistics highlight a stark divide between the market in London, which has seen an influx of wealthy foreigners and a drastic shortage of homes, and the rest of the country. The annual increase in prices in the capital in July was just under 10per cent, however the figure for the rest of the UK was a very modest 1.3per cent. The ONS highlighted a fall of 2per cent in Scotland, 1.3per cent in the North East, and 0.7per cent in both the North West and Wales. Separately, the estate agent website Rightmove reported a small fall in asking prices and a drop in the number of people putting their homes on the market in the past month. Concerns about a property bubble have been stoked by the Lib Dem Business Secretary Vince Cable, who warned against pinning hopes of economic recovery on a sudden rise in house prices. He said: "We must not now settle for a short-term spurt of growth fuelled by an old-fashioned property boom and bankers rediscovering their mojo. We've seen it all before and there are already amber lights flashing, warning us of history repeating itself. However, the Chancellor George Osborne, and the Lib-Dem Treasury Secretary, Danny Alexander, both rubbished these fears. Mr Osborne pointed out that the number of new mortgage approvals is still running well below normal levels, adding: "Let's not pretend there is a housing boom." While Mr Alexander insisted the country was a "million miles away from a property bubble."