Thursday, 29 November 2007

From Stalin to Mr Bean

For all the puffed up hyperbole of David Cameron, it is often the meditative and quietly spoken Vince Cable who launches the effective punches at Prime Minister's Questions. He did so yesterday by noting the transformation of Gordon Brown from 'Stalin to Mr Bean'. Actually, I am not sure that Private Eye's characterisation of Gordon as Stalin has ever really worked and has certainly never been as funny as the musings of the Revd. Tony Blair.

Incompetence and sleaze are bad enough, but problems in the economy could be more troubling for New Labour. British, or more specifically English, people have a great faith in 'bricks and mortar' as an investment. Indeed, some treats their homes as their main pension pot.

Now it is not just 'buy to let' apartments that are proving hard to sell. House prices in the fevered London market fell by 0.6 per cent in October. Even more worrying, the credit crunch means that smaller lenders are finding it difficult to get any more cash to land or only at very high rates of interest.

The growing multiple of incomes to house prices was never sustainable and although a correction will be seen as bad news, in fact it is good news for those trying to get a foot on the housing ladder.

2 comments:

Wyn Grant said...

A test comment - as a reader said they had problems posting.

skipper said...

Wyn
I thought the Eye's Stalin line was not funny to begin with but find it's growing on me as the 'fit' begins to appear appropriate. But not yet as funny as Rev Blaire, no.