House Price Crash (part 94)

The Telegraph report that:

"The housing market will not return to its pre-credit crunch health for at least six or seven years, an expert adviser to Gordon Brown has warned.

Stephen Nickell has warned that the housing market will not return to its pre-credit crunch health for at least six or seven years

Families must wait until 2015 for the property market to start booming again, according to Stephen Nickell, who heads up the unit which advises the Prime Minister on housing planning.

He also warned that the "severe rationing" of mortgages was preventing first time buyers from taking advantage of falling house prices, preventing affordability from improving.

Prof Nickell, the warden of Nuffield College, Oxford and the chairman of the National Housing and Planning Advice Unit, said he was extremely worried that the credit crunch would keep first time buyers from getting onto the property ladder."

Another stonking success story for Gordon Brown and his team of economic geniuses; an economy in tatters, the housing market in freefall with no chance of bottoming out for some years now and prices due to fall 40%. Well done Gordon, you have engineered a good old fashioned Labour government economic disaster.