Magazine
Latest Issue

You may think it was the housing bubble and reckless lending in the British domestic mortgage market that were mainly to blame for our present financial crisis. Media stories of 125 per cent loan-to-value mortgages and self-certification of income by borrowers all reinforced this impression, leading to calls for tighter regulation of mortgage lending.

In fact, the supposed housing bubble and “reckless” lending had absolutely nothing to do with the financial crisis in this country. Here’s why. First, the number of British mortgages in arrears as a proportion of all mortgages was lower in 2009 than in most years in…

Register today to continue reading

You’ve hit your limit of three articles in the last 30 days. To get seven more, simply enter your email address below.

You’ll also receive our free e-book Prospect’s Top Thinkers 2020 and our newsletter with the best new writing on politics, economics, literature and the arts.

Prospect may process your personal information for our legitimate business purposes, to provide you with newsletters, subscription offers and other relevant information.

Click here to learn more about these purposes and how we use your data. You will be able to opt-out of further contact on the next page and in all our communications.

We want to hear what you think about this article. Submit a letter to letters@prospect-magazine.co.uk

More From Prospect