Speaking at the Mortgage Business Expo in Manchester, Wriglesworth said the £50bn SLS announced by the Government is just a “snowflake on an iceberg.”
He said: “£350bn might just give the kick start that is necessary to get the market going and give the message to investors that this economy is not going down the tube.”
Wriglesworth added: “If the Government does not inject more money then I can see this getting worse. If lenders go back to three times income, I think house prices will go back to what they were back in early 2000 before credit criteria was relaxed. That’s a fall by the way of 50 per cent.”
He said he is calling on the Government to start waking up.
“If lending criteria is going back to what it was in 2000, then why should house prices stay up?”