Did you know that:
“At its peak, with only 2.5% of the world’s population in the U.K., the British Empire produced over 20 percent of the world’s income and controlled over 20 percent of the world’s landmass and over 25 percent of the global population… 40 percent of global exports.
From 1850 to 1914, around 60 percent of global trade was denominated in pounds.”
Ray Dalio – Principles for Dealing with the Changing World Order
Of course, things have changed a bit since then but consider this:
In 1910 a nice house in Belgravia would have cost c. £20,000 while the same house now would be worth c. £15m. The difference is that a far lower percentage of the world’s population could afford £20,000 in 1910 than can afford £15m now.
So, when people say that property prices in London are too high would it be unreasonable to suggest that they may not be considering the whole picture?
