Calls for rate cut fall on deaf ears
Concerns about the affordability of mortgages have failed to convince the Bank of England to lower interest rates.
The Bank's Monetary Policy Committee yesterday voted to keep the base rate of borrowing static at 5.25 per cent despite a plea from the National Association of Estate Agents (NEAE) to ease the strain on homeowners.
"The situation is by no means dire," conceded NEAE chief executive Peter Kind. "But the result could be very different if the Bank of England does not act now".
He said that the housing market ran the risk of stalling if the Bank failed to lessen mortgage burdens on homeowners and to do more to encourage mortgage approvals to rise again.
By deciding to keep rates at the base level of 5.25, however, analysts suggest the Bank remains confident in the resilience of the housing market, which continues to be propped up by an ongoing housing stock shortage.
It had been suggested that a short-term collapse of UK property could open the market up to first-time buyers, but that outcome now seems increasingly unlikely.
Published 8th March, 2008
© 2008 Estates IT Limited
London Rental Property News By London Borough / Category
Latest London Property News Headlines
St John's Wood brings the village atmosphere to the capital
St John’s Wood is a great location for people looking to capitalise on all the benefits of London living without being caught up in all the hustle and bustle.
Read Article ... Published on 26th May, 2015
Yeading: Enjoy peaceful city living in an up-and-coming area
Yeading is a laid-back and peaceful residential area situated north-east of Hayes and is one of the most up-and-coming areas of the capital.
Read Article ... Published on 26th May, 2015
Hanwell: A green, peaceful environment for Londoners
Hanwell is a small town located in the Borough of Ealing and is in between Ealing and Southall, providing excellent transport links to the rest of the capital.
Read Article ... Published on 26th May, 2015
Mitcham Carnival announced for June
Mitcham Carnival has been announced for Saturday June 13th at Three Kings Piece.
Read Article ... Published on 22nd May, 2015
Hammersmith and Fulham Council start Park consultation
Hammersmith and Fulham Council have launched a new consultation on Hammersmith Park, inviting local residents to have their say on the area and how it can be improved.
Read Article ... Published on 22nd May, 2015
New conservation areas planned around Waltham Forest
Waltham Forest has announced plans for two new conservation areas near Lloyd Park and Bakers Arms town centre.
Read Article ... Published on 20th May, 2015
Sutton Council announces Take Part Take Pride summer festival
Sutton Council has announced its Take Part Take Pride summer festival.
Read Article ... Published on 20th May, 2015
Brent Council teams with Brent Housing Partnership in new project
Brent Council has partnered with the Brent Housing Partnership as it aims to improve the standard of housing for local people.
Read Article ... Published on 19th May, 2015
Gardeners prepare for Islington In Bloom
Islington Council is preparing for this year’s “In Bloom” event by teaming up with local gardeners to identify the best greenery available in the area.
Read Article ... Published on 15th May, 2015
New fitness centre set to open in Manor Park
A new fitness centre is expected to be opened in Manor Park by Newham Council.
Read Article ... Published on 15th May, 2015
Concerns about the affordability of mortgages have failed to convince the Bank of England to lower interest rates.