This week marks a final bright spot for the country’s biggest lenders as slowing credit growth, margin pressure and bad debts emerge amid a softening housing market.

Westpac is writing thousands fewer mortgages as the major bank expects investor home loans to more than halve over the next year.

This week marks a final bright spot for the country’s biggest lenders as slowing credit growth, margin pressure and bad debts emerge amid a softening housing market.