Mortgage lending increased almost seven per cent in October, according to the Council of Mortgage Lenders (CML).Its analysis revealed £18.7 billion was loaned in the month, compared to £17.5 billion in September.The results are good news for an industry hit by inflated house prices amid a difficult economic downturn.The CML's director general Michael Coogan remained realistic about prospects for future borrowing, he described the outlook as "one of continuing weakness for housing and mortgage markets in the coming months"."Consumer confidence is now being affected by the worsening economic outlook. However, any recovery in lending is also being held back by the continuing shortage of mortgage funding," he noted.Mr Coogan also called for the government to announce clear steps to help increase mortgage lending.The Bank of England has indicated interest rates will again fall. Minutes of its last meeting revealed further drastic cuts may follow to help steady the economy.