Remarks made by the Governor at the annual luncheon of the British Property Federation on 11 May.
Even before the 1970s, inflationary expectations were beginning to infiltrate into investment thinking. The warning notes had become a distinct and very audible theme by the time I entered upon my responsibilities as Governor almost a decade ago. I do not intend to detain you with any extended account of the secondary banking crisis which thereafter came upon us. But property figured centrally in that crisis, and what we have had to do to bring inflation under control has had major repercussions on property values since then. My world and yours have thus been closely intertwined and I thought that a number of reflexions from my side as to how these interconnexions have worked in the past, and might work in the future, would be of interest to you.
Property development-drawing on the experience of the seventies - Remarks by the Governor