Despite promises made after the last crash, too much wealth depends on values bloated by an oversized financial sectorHouse prices are predicted to drop next year due to a mixture of financial instability caused by the misjudged mini-budget and the Bank of England accelerating interest rate hikes. This will be disastrous for many households struggling to afford increased mortgage repayments.At the same time there are many struggling to buy their first home. In 2021, UK house prices grew at their fastest pace in over a decade, despite the economy still recovering from one of the worst contractions in 300 years. This disconnect between the housing market and the rest of the economy only benefits those who use housing as an asset for accumulating wealth.Fran Boait is executive director of campaign group Positive Money Continue reading…
Source : theguardian.com
Read more…We face peril because the UK economy relies on house prices. Here are three ways to fix that | Fran Boait
