Will a ‘no-deal’ Brexit impact house prices and could it cause them to drop if we leave the EU?
BANK of England governor Mark Carney has warned a “no deal” Brexit outcome could mean house prices in the UK tumble.
But are Carney’s doom and gloom predictions likely or is this just another example of Project Fear in action?
The Bank of England governor painted a bleak outlook in his meeting with senior ministersReuters
Will a ‘no-deal’ Brexit impact house prices?
Mark Carney, 53, met with senior ministers on September 13 to discuss the possible outcomes of the UK leaving the European Union without an agreement with Brussels.
It was widely reported he painted a bleak outcome in the three-and-a-half-hour meeting.
He allegedly said house prices could plummet by as much as 35 per cent over three years, mortgage rates could spiral upwards, the pound could fall along with inflation and many homeowners were at risk of being in negative equity.
Both the Home Secretary Sajid Javid and Matt Hancock, the Health Secretary, ripped into Carney for his pessimistic overview.
Some property experts took issue with Mark Carney’s outlook on property prices in a no-deal Brexit environmentGetty - Contributor
The Bank of England had previously warned house prices could drop in its annual “stress test” which it carried out in November 2017.
However some reports said Carney’s comments were “not a prediction, a worst case scenario”.
Downing Street said it was ensuring it was prepared for “all...
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