House prices

Meeting: 
MQT on 2014-10-22
Session date: 
October 22, 2014
Reference: 
2014/3859
Question By: 
Nicky Gavron
Organisation: 
Labour Group
Asked Of: 
The Mayor

Question

Savills recently said that London has now surpassed Hong Kong as the world's most expensive city, largely due to the high cost of housing. Do you agree that this is a serious problem. If so, do you agree that your policies have failed to prevent this, and therefore what policies require change to reverse this?

Answer

Answer for House prices

Answer for House prices

Answered By: 
The Mayor

The Savills report takes into account a range of costs in addition to housing, and I note it describes Hong Kong as "by far the most expensive city" in terms of residential property prices, despite London's enormous recent growth in both population and employment. London's relative costs have also been pushed up by shifts in currency exchange rates that are beyond my control. Nevertheless, I am determined to make housing in London more affordable for Londoners, which is why I have set out a range of policies to double London's new housing supply, the only way to improve affordability in the long term.