We are not suggesting that the UK economy has been performing in a stellar fashion. Far from it. But in a low-growth world (mired in what the OECD likes to refer to as a “low-growth trap”) the UK hasn’t been anywhere near bottom of the table.
The housing market evokes a strong, and often emotional, reaction. This is usually because vested interests (owners, investors, speculators, politicians, lenders, real estate agents and others) can’t bear to think of the consequences of a decline in house prices. Politicians constantly talk about making housing more “affordable” but, by definition, this means lower prices.
