Why Britain’s Housing Crisis Heralds The Next Financial Crash
By Steve Rushton for Occupy - Housing prices in London have risen by 50% in the last five years. If the U.K. property bubble goes boom, it will be proportionally bigger than the U.S. housing bust at the onset of the financial crisis in 2007. How did we get here? For starters, U.K. banks in 2015 lent over £1 trillion ($1.4 trillion) for housing, accounting for 70% of newly made loans. The result is that when this bubble pops, it could catalyze another global financial meltdown. While there are many other possible triggers, the next financial crash is more likely than not.