A London Revolution

[ianch99]

Victoria Coren has a really interesting proposal for Londoner's on QT:

London workforce 'should leave' city to solve housing crisis

Who actually lives in London? Is she right, can young people *actually* get on the property ladder in London without a contribution from wealthy relatives?

No, young people cannot get onto the housing market without either having a really high relative salary and/or a significant lump sum from elsewhere. The average salary in London across all age groups is about £34,000.

The average house or apartment in London is increasing far quicker than income increases. Even if a young person was to save as much as they possibly could they would still be falling behind.

Personally I don't understand the economics well enough to know why this isn't a bubble. Coren's advice is not really workable because young people need jobs but it may come about anyway because the workers will be priced out of London and the surrounding areas. It's not even as if rents are relatively stable because they're not either.

Quite what investors and the Government think the long-term consequence of this will be is not clear to me but the investors at least think it must be sustainable otherwise they would be pulling their money out....

[ianch99]

A topical comment on the London property market:

London’s property market is Britain’s Hunger Games

with a worrying observation:

At a lavish dinner in Mayfair this week the bosses of a big lender told me we need to relax the affordability criteria so people can borrow more. Behind closed doors there is a massive push by the mortgage industry to have restrictions lifted.

So people are being put into an arena to kill each other for the amusement and entertainment of the general populace?

Or is the comparison with "The Hunger Games" complete hyperbolics?

[Gary L]

London's overrated. and sooner or later they'll have to hold a discount sale.

[ianch99]

Originally Posted by Hugh

So people are being put into an arena to kill each other for the amusement and entertainment of the general populace?

Or is the comparison with "The Hunger Games" complete hyperbolics?

I think the idea here is to make the comparision to highlight a real and growing problem for people who live and work in the capital.

If the exaggeration was baseless you have a point, but it isn't and you don't

How many of the properties being bought are actually occupied? I think the real danger is that London will become a ghost city haunted only by politicians,bankers and rich oligarchs..

[Ignitionnet]

Originally Posted by Hugh

So people are being put into an arena to kill each other for the amusement and entertainment of the general populace?

Or is the comparison with "The Hunger Games" complete hyperbolics?

That'll be the endgame. Winner gets a studio flat.

In Croydon...

[denphone]

Originally Posted by Maggy J

How many of the properties being bought are actually occupied? I think the real danger is that London will become a ghost city haunted only by politicians,bankers and rich oligarchs..

My sister and brother both work in London but they have to commute from Birmingham and Gosport throughout the week sadly.

[djfunkdup]

Originally Posted by Hugh

Or is the comparison with "The Hunger Games" complete hyperbolics?

This ^^