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Porteous dismisses claims on price levels

Growing concerns that house prices are nearing unsustainable levels have been rubbished by RBS senior economist Stuart Porteous.

Porteous&#39 claims go against those made by several fund managers and analysts, who expect to see a dramatic crash in the housing market in the next two years.

Before we witness a dramatic decline in the UK property market, Porteous told the summit that interest rates would have to rise sharply and unemployment would have to rocket.

Both of these are tipped to occur but Porteous does not believe they will be to the extent that it would have a significant knock-on effect on the housing market.

Porteous acknowledges that first-time buyers are struggling to put together large deposits, which may be contributing to the gradual slowdown in the market.

He said the margin between those renting and property owners is vast and will take years to close up.

On the conflicting opinions between the mortgage industry and the City about the prospects for the market, Porteous said: “Some people in two years time will be eating their hats.”

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Guide: 10 required letters — what to send, to whom and when?

This guide from Johnson Fleming will take you through the required communication and also give ideas for additional actions that will ensure your auto-enrolment project is a success. The topics in this guide include: the letters you need to send out; what to send and when; the importance of employee engagement; and what to consider as additional communication.

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