RBS & Affordable Housing
jock | 02.06.2007 13:23 | Social Struggles | London | Oxford
The Royal Bank of Scotland is teaming up with commercial landowner Vincent Tchenguiz to establish the UK largest private landlord of residential homes.
capitalising on a housing crisis that has seen home ownership drop in Britain for the 1st time since the 50s and with the average cost of a first home 8 times higher than the average wage RBS has chosen to get in bed with the notorious commercial landowner Vincent Tchenguiz.
They are setting up a fund to bulk buy off plan homes (those not built yet) to profit from a private rental sector that has increased by 1 million households since 1996 and is expected to grow by a further 50% in the next few years as more and more households realise the impossibility of ever owning a home.
According to the FT, RBS and Tchenguiz 'believe that there are opportunities for a large scale landlord' to enter the market. The problem is their monopoly buying power will increase the inaffordability of homes and their monopoly supply will reduce competition in the private rental market forcing up rents.
The private equity fund they are setting up aims to raise £500m to buy up properties on the cheap. they hope to benefit from the bail out of the market by many small scale speculators who have suffered losses from the buy-to-let sector.
This latest move demonstrates the UK relapse into a feudal economy that will force desperate people to slave away in mind numbing jobs whilst they desperately try to meet the ever increasing rent or mortgage payments.
the time to resist is now
They are setting up a fund to bulk buy off plan homes (those not built yet) to profit from a private rental sector that has increased by 1 million households since 1996 and is expected to grow by a further 50% in the next few years as more and more households realise the impossibility of ever owning a home.
According to the FT, RBS and Tchenguiz 'believe that there are opportunities for a large scale landlord' to enter the market. The problem is their monopoly buying power will increase the inaffordability of homes and their monopoly supply will reduce competition in the private rental market forcing up rents.
The private equity fund they are setting up aims to raise £500m to buy up properties on the cheap. they hope to benefit from the bail out of the market by many small scale speculators who have suffered losses from the buy-to-let sector.
This latest move demonstrates the UK relapse into a feudal economy that will force desperate people to slave away in mind numbing jobs whilst they desperately try to meet the ever increasing rent or mortgage payments.
the time to resist is now
jock