Gordon Clown .Com

The desperation of Gordon to keep house prices rising and therefore keep the public borrowing was demonstrated again yesterday with the announcement of the Open Market HomeBuy scheme which has been designed to help key workers buy their first house. The possibility that the reason they cannot afford to buy a house in the traditional fashion lies with the vastly overinflated debt bubble that the UK finds itself in today has been all but ignored, and Gordon has decided instead that the best course of action is to continue inflating debt and waste £230 million in the process on a scheme which will only help around 20,000 people. The other obvious implication is that the salaries of teachers, nurses etc. determined largely by the government are set too low and eroded each year by pay rises linked to the massively fiddled inflation figures of CPI at roughly 2%, when the cost of living is increasing at a rate far far higher. The likelihood, as pointed out by the RICS, that assistance for new purchases from the government is only likely to worsen overall affordability in the long term seems to be largely irrelevant to Gordon.