12 Comments
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OPTIMATES's avatar

Doubt they will do anything radical , and doubt if they actually do something radical it will work

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Billy Bunter's avatar

Think you give Labour far too much credit in its abilty to control housing price by increased supply. This will take years to have any effect. Suspect they have no idea what they are doing much like there Tory predecessors.

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Russell Clark's avatar

I feel the Tories were confused and unable to come up with policies that pleased their base - and the new Brexit voters.... At least Labour has at least offer some clarity and direction - if only for a little while

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MM's avatar

We have a similar dilemma here on the other side of the pond, despite our fixed 30YR mortgages:

The only way to fix housing affordability is to crash the housing market, let inflation run above target, or some combination of the two.

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Matt's avatar

Still waiting on your thoughts re linkers Russell!

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Russell Clark's avatar

Apologies. Will do

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Matt's avatar

Great. Also to double check the @realrussellclark telegram account is your troll / copycat scammer no?

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Russell Clark's avatar

Reported already. It was interesting to see flows out of TIP US have been aggressive. I suspect people were disappointed with it as an inflation hedge in 2022...

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Matt's avatar

My instinct is that Labour will have much more room to move than tories given labour voting base demographics (younger, less house owners) on fast tracking / streamlining resi dev planning processes. Hopefully they get some good industry veterans on board about how best to do this.

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Andy Fately's avatar

In a related note, I couldn't help but notice this morning that the Amazon workforce in Coventry rejected the labor union. While Labour is in charge, perhaps it is not the mandate they dream of, but an anti-tory vote that got them there. If that is the case, I suspect they will not be able to effectively implement nearly as much policy change as they would like. I agree with Billy Bunter that controlling housing prices will be nigh on impossible

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Clement's avatar

Russell

Unless the US and Eurozone also run similar inflation rates, wouldn't 6% inflation in the UK vs 2-3% elsewhere trigger a run on the pound?

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Russell Clark's avatar

Well what we have seen is that tariffs and interest rate policy seems to dominate in a pro-labour world. So no. Theoretical should hurt equities though

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