House prices to rise 25% in next five years

Generali

padington wrote: »

That's interesting, why's that ?

Nobody really knows and an awful lot of work has been done on the UK's poor productivity for decades and come to no genuine consensus. My guess is that the very high cost of employing someone in France means that it's worth automating stuff more than the UK. For example, the French had a basic kind of Internet called Minitel decades before most people got online in the late 90s-00s.

Anyone who comes up with an answer who isn't an empirical economist who has made some kind of new breakthrough is guessing.

buglawton

I think the reasons are uncomfortable to think about which is why our politicians prefer to beat about the bush on this subject.

- British psyche cannot cope so well with deferred gratification - short term thinking spoils good investment.

- The UK is simply less developed than competitor countries that have overtaken us since WW2.

caronoel

Sibley wrote: »

I really hope they rise 25%.
Can see it happening due to pension pots being raided.

Good point.

As the government tightens the cap on annual contribution levels to pensions, and reduces the overall pension pot allowable, other investment vehicles, such as residential property investment become more attractive.