Tuesday, January 19, 2010
Taylor Wimpey dismisses the Silver bullet
The boss of Taylor Wimpey, one of Britain's biggest housebuilders, has said the housing market could absorb a rise in interest rates this year without a recovery being impacted. House prices and sales volume have risen over the past few months and this could be sustained through a rise in interest rates this year by the Bank of England of up to half a percentage point, according to Pete Redfern, chief executive of Taylor Wimpey. Central banks and governments across the world are beginning to consider exit strategies from the stimuli used to prop up the global economy, but some economists fear that a premature rise in interest rates will halt an upturn by squeezing consumer spending.