0845 GMT [Dow Jones]--The Bank of England "needs to act on the housing market," says Rob Wood, chief UK economist at Berenberg. RICS data shows house prices are on an upward trend, backing up other recent figures. "Action on the housing market is overdue. The BoE has been talking a good game, saying it now has the right tools to deal with a housing boom. They should deploy those tools before the risks build further," Mr. Wood says. The housing market has been bolstered by a supply shortage, low interest rates and government subsidies. Scrapping the subsidies, and hiking interest rates, are needed to cool it down, he says. (art.patnaude@wsj.com; @artpatnaude)
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(END) Dow Jones Newswires
May 08, 2014 04:45 ET (08:45 GMT)
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