A "significant housing bubble" in London is a cause for concern, a British bank boss has warned.
In a wide-ranging interview with ITV News' Business Editor Joel Hills, Aldermore CEO Phillip Monks adds, however, that there's not a lot that can be done about spiralling prices in the capital.
"You can go to the ports and close the borders but I don't think that's going to help," he said.
"I don't think it is possible to dampen housing demand in London without wrecking the rest of the UK housing market."
ITV London's Political Correspondent Simon Harris tweeted:
Boris Johnson's housing strategy is approved by the London Assembly despite a majority voting against. @itvlondon
Labour, Lib Dem and Green Assembly members failed to pass the two thirds majority threshold to block the plan. @itvlondon
A property economist has warned that London is heading for a housing bubble after new figures revealed that property prices increased by 18.2 per cent in the last year.
The average house price in the capital reached £362,699 which is an increase of 20 per cent on the 2007 peak.
Matthew Pointon, a property economist at Capital Economics, said "London doesn't appear to have got the memo" when it comes to house price growth easing."
"London is looking far more like a bubble - prices are up over 18 per cent year-on-year in the capital, the fastest rate since the start of 2003," he added.
London house prices have increased by 18.2 per cent annually leading to the widest gap between property values in the capital and the rest of the county on record.
The annual rate of price growth in London is the strongest seen since 2003, Nationwide said.
An average house price in the capital is £362,699 which is a 20 per cent increase than its 2007 peak.