Carney Acts on U.K. Housing Boom Danger With Loan Restraints
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Bank of England Governor Mark Carney took action to restrain the U.K.’s house-price boom by ending incentives for mortgage lending in a package aimed at curbing “evolving risks” to financial stability.
“This will help keep the housing market on a sustainable path and ensure the broader economy continues to receive the stimulus it needs, for as long as it needs, to sustain the recovery,” Carney told reporters in London today. “By acting now in a graduated fashion, authorities are reducing the likelihood that larger interventions will be needed later.”