Chancellor gives Bank powers to restrict 'risky' mortgages

Chancellor George Osborne has announced he will give the Bank of England legal powers to stop Britons taking out mortgages that are too big compared with their income or the value of their home or income.

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Ed Balls responds to Chancellor's mortgage plans

Labour's shadow chancellor Ed Balls said:

George Osborne is still failing to tackle the root cause of the housing crisis which is that we are not building enough homes to match rising demand.

Over the last few years Labour has repeatedly called for action on housing supply, but the Chancellor has failed to act.

Under this government housebuilding has reached the lowest peacetime levels since the 1920s.

You can't deal with the cost-of-living crisis and create a strong and balanced recovery without building more homes.

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