- Housing market no threat now but could be in future
- Will make an announcement at Mansion house speech tonight
- Will look to give FPC powers over income and value ratios
- Looks to give BOE powers to cap mortgage lending ratios
Tonight at 8pm (gmt+1) the Chancellor and BOE head Mark Carney speak at the annual Mansion House dinner.
Osborne has already made remarks this morning on FX manipulation and that’s to be addressed in the speech also. Housing is going to be the hot topic though and could have an affect on the pound depending on what it announced. Any rhetoric of using monetary policy will likely see the pound higher but it’s likely to be adjusting the Help to Buy scheme and these new powers given to the BOE and FPC. The pound may get a lift anyway if the ideas pumped are seen to reduce any financial risks down the road.
