Britain’s Property Problem: Demand increases are rapidly transmitted into rising prices rather than expanded output

摘要

The government’s housing policy has been controversial. Some applaud Help to Buy for kickstarting activity in the housing market, while others warn of potential pitfalls, especially regarding the second phase that will be implemented from January. Alex Marsh argues that more credit being poured into the housing market will only be able to deliver a modest supply response. This means increasing housing costs.