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Higher rates, end to cool UK house market-CEBR

LONDON: Higher interest rates and the abolition of mortgage interest tax relief at source (MIRAS) will combine to cool the UK housing market, according to research published by the Centre for Economics and Business Research on Monday.

It argues that spending plans introduced in last month's budget were greater than expected, and will prompt the Bank of England to raise interest rates.

Together with stamp duty increases on property, house price inflation are set to fall next year.-Reuters