Brexit Supremo Accuses Banker of Being Out of Touch
A high-earning banker has come under fire for suggesting that buying a house is not a difficult task. Sir Howard Davies, the chairman of NatWest, stated that people simply need to save money, asserting that this has always been the traditional way of purchasing a home. However, his comments have been criticized by Nigel Farage, who accused Sir Howard of being part of the "entitled elite" and out of touch with the realities of the housing market.
Rise in Property Values Reported
In the midst of this controversy, it has been revealed that property values have experienced a significant surge. According to the Halifax house price index, average home prices rose by 1.7% throughout 2023, with the average property now being valued £4,800 higher than at the end of the previous year. This marks the third consecutive monthly increase in house prices, with a 1.1% rise recorded in December alone.
Banker's Assertion Sparks Backlash
During a recent interview with the BBC, Sir Howard Davies was asked when it will become easier for people in the UK to enter the property market. In response, he stated, "I don't think it is that difficult at the moment." He went on to emphasize the importance of saving, suggesting that this has always been the traditional approach to homeownership. However, many have criticized his remarks, arguing that the financial landscape has changed significantly in recent years, making it much more challenging for individuals to save enough for a down payment.
Debanking Row and Banker's Response
Aside from his controversial comments about buying a house, Sir Howard Davies also faced questions regarding a recent debanking row. This dispute arose when former Ukip leader Nigel Farage revealed that Coutts, a luxury bank owned by NatWest, planned to close his account. The situation ultimately led to the resignation of former NatWest chief executive Dame Alison Rose. In response to these events, Sir Howard defended the bank's judgment and stated that an independent legal review had been commissioned to clarify the situation.
Political Figures Weigh In
Various political figures have offered their perspectives on the housing market and the challenges faced by potential homebuyers. Tory former minister Brendan Clarke-Smith acknowledged that housing affordability varies across the country, with London and southern England being particularly expensive. He suggested that the key to addressing this issue lies in building houses in desirable locations and ensuring equal employment opportunities throughout the country.
