Housebuilder shares tumble as Carney clamps down on property market

Shares in UK housebuilders have tumbled after the Bank of England said it will end the Funding for Lending (FLS) scheme for mortgages a year early.

The Bank announced this April that the scheme is to be extended to January 2015, but altered its decision this morning so that the extension only applies to business loans. Funding for mortgage loans, which has helped cut mortgage rates since implementation in July 2012, will now come to an end on 31 December. "Having considered the views of the Financial Policy Committee, the [Bank of England's] Prudential Regulatory Authority has decided that additional stimulus for lending to households is no longer required," the BoE said in a statement this morning. Shares in Barratt Homes slu...