Why is the UK obsessed with property?
The Liberal Democrats have made a number of observations about the UK economy which have struck a cord with many observers. They are the first party to question the UK's obsession with property which literally rules the UK economy. Unlike many countries around the world, the vast majority of UK citizens own their homes when many countries have a culture of renting. This obsession with owning property has literally pushed many millions into financial difficulties - although it has to be said that many have done very well from the UK property market.
So is it healthy to be obsessed with property?
The UK has always been a nation where property ownership was both encouraged by society and the government with people spoon fed the idea that property is one of the best long term investments they will ever make. This has proved to be true for many people but with house prices decoupling from the average salary in the UK the situation is now critical.
While many first time buyers cannot afford to buy homes in the UK they are still trying to push themselves to the limit to capture that dream home. It is this type of action and mentality which has seen the UK economy heading south as the property market takes the lead. Something needs to be done to reduce the influence of the property market, however, quite what can be done remains to be seen!
Share this..
Related stories
More homebuyers escape stamp duty but the fall continues
The Council of Mortgage Lenders (CML) has reported that the government's increase in the stamp duty threshold for property purchases saw a large jump in those who avoid stamp duty on property transactions. The figures indicate that over 50% of buyers did not pay stamp duty in September compared to just 22% in September 2007.
However the housing market is still struggling with home l...
Are we in for a winter of discontent?
There are serious concerns that union activity over the coming months could bring the UK to a standstill as union leaders fight for the jobs of their members under severe threat because of public-sector spending cuts. Despite the fact that behind closed doors many union leaders fully understand the need to rein in public spending, in public the dispute between the UK government and the unions is s...
Read MoreWill UK property funds ever be the same again?
The recent announcement that Norwich Union has suspended redemptions of its UK property funds was a further nail in the coffin of the UK property investment sector where times are very tough. There are serious concerns that the impact of effectively blocking unit holders from the realising their property investments will have a detrimental impact in the short to medium term and possibly longer ter...
Read MoreIs it Time To Build Your Eco House?
While the eco housing revolution has never quite taken off in the UK it seems that now may be the time to try and bag a prime plot for your dream home. Industry experts are suggesting that the recent fall in property and land prices has brought more people back into the market with prices more reachable. It also seems that more people are looking at both eco and energy efficient housing as a way...
Read MoreIs the Bank of England out of touch with growth forecasts for 2011?
A survey of economists and analysts in the UK has today cast doubt on the assumption that the UK economy will grow by 3.4% in 2011. The general feeling now is that the UK economy will grow by no more than 2.5% which is a significant difference to the current forecast. So how has the Bank of England got it so wrong? The current economic growth forecast in place at the Bank of England was formul...
Read More