Before the new coronavirus pandemic, one of the main ways in which the UK’s Conservative Party boosted consumer confidence was pushing house prices up with the aid of various taxpayer-funded schemes such as Help to Buy.
But as the damage done by Covid-19 to the economy heaps pressure on the public purse, should the taxpayer still generously fund schemes that mainly serve to boost house prices and the fortunes of a few big companies and their already well-off clients?
This year, the UK government must come up with solutions to the main crises that eat away at some ordinary Britons’ well-being. One of these is the housing crisis, which continues unabated despite the billions of pounds thrown at the problem.
I know I have said it before, but at the time it was just a hunch: the price to pay for an “un-cool Britannia” after Brexit will be steep. Evidence for this is beginning to show. A survey released recently shows how fast Britain is losing attractiveness in the eyes of the world.
The Brexit vote must be manna from heaven for those seeking to hide their illicit gains in London. Busy with all their posturing and negotiations, politicians will have no time to curtail the criminals’ activities.
Many people hope that the UK Prime Minister’s rhetoric calling for a fairer society means she will address what is by far the biggest inequality in today’s Britain: the housing crisis. But a recent speech, in which she outlined her plan for Brexit, seems to indicate that she is unwilling to really tackle the issue.
Perhaps in no other European country is the obsession with homeownership so entrenched as in Britain. The ambition to “get on the property ladder” underpins almost every young person’s dreams, pushing young people to make sacrifices to save for a deposit and then take on a big mortgage just to be able to say they own, rather than rent, their home.
But do they, in fact, own it? Increasingly, property ownership is becoming an illusion that makes people part with cash they can ill afford to spend.
By Antonia Oprita
House prices in the UK are getting another boost from the government, just in time for the May 7 general election.
The UK housing market is one of the most fascinating in the world. With prices well above their 2007 peaks in London and the south-east of England, more and more people say it is a bubble waiting to burst. And yet, there seems to be no shortage of buyers.
A superficial look at the UK economy is reassuring. Unemployment is decreasing, inflation is tame, gross domestic product is advancing.
London is teeming with tourists, restaurants in the central areas are full and the traditional shopping districts, like Oxford Street and Regent Street, are as busy as ever.
But look deeper and the cracks begin to appear.
The housing crisis is affecting the UK’s competitiveness, so urgent measures must be taken to tackle it, British business group CBI said in a report.