28.03.2013 - UK: Housing stimulus: Shaky foundations
George Osborne exceeded industry expectations in last week’s Budget by pumping more than £15bn into a housing market stimulus. But economists fear the measures could do more harm than good. Last week’s “housing giveaway” Budget by chancellor George Osborne has already been described as “economically insane” and “a huge gamble” by some economists. But the measures the chancellor was able to unveil - both a £3.5bn deal to provide equity loans for newly built homes, and a £12bn extension of mortgage guarantees - left housebuilders unable to believe their luck. Most of the listed players’ share prices were more than 5% up on the day - gains that they have so far kept...............................................Full Article: Source
Print