Virgin Money issues warning over London house prices
Virgin Money has stated that it is cautious about making new loans in London for fear that borrowers may become overstretched and end up in negative equity.
The challenger bank has also warned that the capital and other big cities could be headed for a lengthy period of stagnation.
Virgin’s warning comes amid growing fears of a UK debt bubble. The Bank of England yesterday raised concerns over a significant rise in consumer debt, with car loans, personal loans and credit cards rising by 10% in the last year.
Full story available from Evening Standard: http://www.standard.co.uk/business/virgin-money-in-london-house-prices-warning-a3595456.html