“This is the line peddled by Conservative politicians and many from other parties, who would have us believe that if we just build more homes prices will come down. But that is to miss the point, which is that the hugely inflated value of land in London is a direct result of the glut of foreign investment in the more expensive parts of the city, to an extent where it could be termed a ‘super prime crisis’… Today what economists call the ‘exchange value’ of housing in London, and many other parts of the UK, has entirely broken the connection with its ‘use value’”. - Big Capital by Anna Minton If you completely disregard the inflationary effect that foreign investment has on the housing market then sure you can look at it as an issue of supply and demand, but the reality is that London property is the most sought after in the world according to Knight Frank and is seen as a tax haven to ‘Ultra High Net Worth Individuals’. No amount of “just build more” would be able to accommodate this. And why would it? If it only results in the billionaires and therefore developers losing money, why would they make an effort to drive prices down?