King on house price inflation in UK

- Central Banking staff
- 15 Jun 2004

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In a speech given on 14 June Mervyn King of the Bank of England said the risk of a decline in UK house prices is increasing, despite the central bank's latest attempt to cool the housing market after raising interest rates four times since November. He also said how far interest rates will need to rise to keep inflation on track to meet the bank's 2 per cent target for consumer price inflation in the medium term is impossible to say with any degree of confidence.

"After the hectic pace of price

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