Although Mark Carney took a while to understand the mechanics of the British economy, I think he is certainly starting to understand the dynamics of the property market. The London residential market is growing by circa 8% but in outer regions of the UK it is far less.
Help-To-Buy has had a substantial political effect but due to its limited scope it has not, in itself, been responsible for ‘stoking up’ a housing bubble at the lower end of the market and, therefore, it should not be prematurely withdrawn in line with certain bellicose comments against it. It is an excellent initiative and should continue unabated for a while longer at least. Continue reading