Unclear if raising rates is a sensible way of tackling housing says Carney

• Ultimately we can use mon pol to address financial stability risks
• We have a broad range of additional tools we could use if necessary
• Could activate a sector capital buffer for banks if they look like breaching limits and if today’s measures are not effective

BOE’s Bailey says they have enforcement powers if lenders bust the new cap on home loans but that it is not the first line of attack

Back to Carney;

• Normalising policy could be volatile if markets are in a low volatility state when it happens