The boss of Canary Wharf Group said yesterday that government attempts to pour cold water on the housing market would do little to ease the UK’s housing crisis as the group prepares to make a push into residential.
Sir George Iacobescu said that while the Bank of England had “tightened the screws on finance...it doesn’t resolve the physical issue of supply”.
The Bank introduced measures earlier this year to cool rising property prices and the rise of in riskier large-value mortgages. But Governor Mark Carney admitted that the fundamental problem was a shortage of homes - and that the Bank had no influence on that.
Iacobescu’s comments came as Canary Wharf announced it has created a new “brand” for the firm as it attempts to shake off its image as an office district and moves into residential.
The company, owned by Songbird Estates, plans to build around 3,500 homes by 2022 by developing 4.9m square feet of land to the east of its estate.
Iacobescbu said homes were “for Londoners” and would be marketed to Londoners first.