UK's King says MPC doesn't target house prices

The Bank of England's governor Mervyn King insisted on Tuesday 29 June that the interest rate-setting Monetary Policy Committee does not target house prices when it sets interest rates.

"We are not targeting house prices but that is not to say they are not important for our decision," he told the House of Lords Economic Affairs Committee on Tuesday.

King also reiterated his recent warning that house prices may fall, and that potential home buyers should be wary of entering the market on the ass