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BOE's Carney says house prices would fall a third after chaotic no-deal Brexit: The Times

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Bank of England Governor Mark Carney told ministers in a meeting on Thursday that British house prices would fall by 35 per cent over three years in the event of a chaotic no-deal Brexit, The Times newspaper reported.

[LONDON] Bank of England Governor Mark Carney told ministers in a meeting on Thursday that British house prices would fall by 35 per cent over three years in the event of a chaotic no-deal Brexit, The Times newspaper reported.

Mr Carney also told ministers in a presentation that spiraling mortgage rates would crash the housing market, the newspaper said.

The Bank of England declined to comment on the report when contacted by Reuters.

Mr Carney also said the impact of a no-deal Brexit could be as catastrophic as the 2008 financial crisis, according to The Guardian newspaper.

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Mr Carney attended a meeting of the government's top ministers to outline the bank's preparations for the possibility of a no-deal Brexit, which both London and Brussels hope to avoid.

Britain's central bank stress-tested lenders against a 33 per cent house price fall last year.

British and European governments are setting out plans in the event that Britain leaves the bloc on March 29 without an agreement which could cause disruption to the movement of goods and people.

REUTERS