Is the government using property to warn people off Brexit?

Poole-based Property Developer Richard Carr believes that the government is using the property industry as a tool to sway UK residents into staying in the European Union.

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Richard Carr image of Leeds

Are the government right to use property in their Brexit argument?

Richard Carr believes that the property industry and the country’s economy as a whole would benefit from leaving the European Union.

However, he understands that there are pros and cons to the argument.

He’s disappointed by the government’s current tactics though, which are currently based around the property market and the effects leaving the European Union would have upon it.

According to the Chancellor of the Exchequer George Osborne leaving the EU would see house prices hit significantly and make mortgages far more expensive.

Speaking on ITV’s Peston on Sunday Politics he revealed that the Treasury is set to release an important piece of research into how Brexit would affect the UK economy and specifically the real estate market.

“‘You will see the analysis we will do, but I’m pretty clear that there will be a significant hit to the value of people’s homes and to the costs of mortgages. That is one example of the kind of impact, economic impact, that we get from leaving the EU,” he said.

Rising

Osborne’s warning comes at a time when the market has been looking health with recently released data from HMRC showing that sales have rising from 116,930 in February to 165,480 in March, which is the highest monthly total since records began in April 2005.

Analysts believe that some of the rise can be attributed to the new stamp duty rates for buy to let and second homes which will come into action this April.

Despite this, Richard Carr believes that a strong property market is vital for the economy and for the government to use it as part of their plan to encourage people to stay in the EU is a dirty tactic.