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FT.com - Alan Budd: I don't know how far house prices will fall and I was wrong to have predicted a fall earlier. A fall of more than 10 % would not surprise me at all. The rise in house prices appeared to have little or no effect on the UK economy and the fall may be the same. However there could be effects on borrowing (because of falls in collateral values) and wider loss of consumer confidence. That is why I have mentioned falls in asset values as one of the risks.

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