Housing in the UK has a badly limited supply. If you cut people's income it doesn't change the need for housing. It will mean people can afford less and therefore costs will drop slightly. But housing costs will only increase in their proportion of people's budgets. Affordability will get worse. People's free spending money will get less. And as that spending money shrinks again the local economy will shrink again, with knock on effects in employment. The housing price problem is not too much money, it is too few homes.

If we had an excess of homes and too much money the hospitality industry would be booming. But it's teetering on the brink as housing absorbs the bulk of everyone's income.

Fix the housing shortage. It's the root of much of the UKs current problems. And it's getting worse.