International Monetary Fund warns Bank to be ready to raise rates if other measure fail to keep housing market in check
The International Monetary Fund has said UK interest rates should stay low for now, but the Bank of England policymakers must be ready to raise them should other measures fail to keep the housing market in check.
The IMF said that so-called macro-prudential measures should be the "first line of defence" against financial stability risks from the housing market. But ultimately more must be done to raise the supply of housing to meet demand, it said, echoing warnings from economists and the Bank of England's governor, Mark Carney.
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