Nigel Stockton, Financial Services Director, Countrywide plc, the UK’s largest property services Group comments on the Government’s decision to bring Help to Buy Phase 2 forward
“Bubble…what bubble? The latest graph on House Price Inflation (HPI) from DCLG below lays bare the lack of evidence for a “bubble” argument. Yes, London has high house price inflation; indeed it is distorting the overall HPI position as you need to look at the regions outside of London.
“As David Cameron said at the weekend when discussing the acceleration of Help to Buy Phase 2, talk to people in Manchester and Salford and they would laugh at the idea of a bubble. We should listen to people living around the country rather than draw conclusions from the South East alone and using these figures as the sole reference when talking about the whole of the UK residential property market.
“The acceleration of the Help to Buy Phase 2 is welcome for many across the UK who wish to buy or move home and any concerned individuals focussed on a bubble can take comfort from the fact that the FPC are ready to change key criteria if there are signs of overheating. “