Michael Harris, founder of the advisory service Cribstone Strategic Macro, discusses the U.K. housing market following an extension of a temporary tax break.
U.K. housing market is a structural vulnerability for its economy, strategist says
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UK, USA, Canada, Australia, New Zealand.
The stamp duty cut was purely to push up house prices and builder profits. The only interest the government has in housing is purely based on driving up demand and prices. They have no interest in housing for its intended use, ie for people to live in, it is purely a portfolio asset class with a price to be inflated over time and to keep the riff raff working hard to pay rent to the parasite class.
Completely agree, on a Gold Standard the U.K. would be nothing…. it’s all a printed scam.
Its true, high house prices mean wages must go up, which in turn means productivity prices go up, which means factories will relocate to cheaper countries and the UK not being competitive. So lets see what the govt will do, will they overlook inflation and risk it gets out of control, or will they raise rates and watch the over leveraged crumble? It will be interesting to see…