Cable Demands Action to Tackle London Housing Bubble

Vince Cable has called for action to tackle the overheating London housing market, warning that a premature rise in interest rates will hit the recovery in manufacturing and exports in the North of England. The Liberal Democrat MP told The Yorkshire Post that the housing bubble in the capital needs to be deflated. Mr Cable said: “The risk is that if you continue to get this runaway boom in house prices in the South East and particularly London then the Bank of England is tempted to put up interest rates sooner than they otherwise would do and that in turn pushes up the exchange rate and ​that makes it difficult for people to export. That’s the worry and that’s why the boil has got to be lanced.” Read more on the Yorkshire Post website.