Rachel Reeves tries deregulation, but she’s bad at that too

If it was a Netflix mystery series, it would be the moment for the ‘big reveal’. After months of boasting about how she would make the UK the most competitive, dynamic, and indeed fastest growing economy in the G7 we finally have some idea of what Rachel Reeves is going to do to deregulate the UK. There is just one problem. She has opted for the worst possible way of loosening the rules – and Reeves will end up sparking an asset bubble. 

After summoning regulators to Downing Street yesterday to tell her how to boost growth, some details have started to emerge of what Reeves is planning. According to a report in the Times, the Chancellor is looking at relaxing the rules on mortgage lending to allow banks and building societies to offer people bigger, and riskier loans, to make it easier for people to borrow more money. Right now, buyers can typically only borrow 4.5