Hints and tips:
...Overall we suspect that the peak in the Bank rate will be limited to 4 per cent....
...David Bell: Its armoury to control supply-side inflation is limited....
...It seems efficient therefore for the economy as a whole to benefit from rises in property prices and to use the revenues to fund institutions and public capital (education, health, law, infrastructure) which...
...Savers (both retail and institutional) expect liquidity, on tap, partly fuelled by pensions freedoms and partly by the impact of Woodford collapse/ Property Fund shuttering....
...Though others said that any fall in house prices was likely to be limited to London....
...Those market developments limited how actively the policy shock absorbers could be used....
...Volatility in global financial markets....
...Paul Mortimer-Lee, BNP Paribas There have been few winners. The big losers are the banks and their shareholders and the taxpayers and their governments....
...The very large projected stock of gilt issuance to fund the budget deficit is also a major risk, estimated at £225bn for the 2009/10 fiscal year alone....
...Responsible fiscal policy would have moved the fiscal accounts into surplus and would have potted up funds for a rainy day....
...The public may be more prepared to accept serious emergency measures if they are put in place for a limited period of time....
...Alan Clarke & Paul Mortimer-Lee (BNP Paribas): We expect house prices to fall by around 5% over the coming year....
...So the first risk would be a deeper and long-lasting correction in commercial property markets....
...With more marketing funds (see answer above re. funding), we would be able to do more in more markets such as the UK (which accounts for around 2 per cent of global demand)or Russia....
International Edition