The Bank of England warned that the housing marketing the UK is at the risk due to rapidly increasingly housing prices.

Chief economist Spencer Dale said that the housing market is facing the risk of overheating. The comments from the central bank might raise fears that the BoE might increase interest rates sooner than expected. It is believed that the construction sector is rising rapidly in the housing sector. Data released from Halifax showed house prices rose 7.7 per cent per year in November, which is the fastest rate in six years.

UK's central bank, Bank of England has said that it has taken steps to control the rising housing prices in the country, a move that has affected house builder's sentiment. Following the move by the central bank, investors panicked and withdrew as much as one billion pounds off the sector. Governor Mark Carney has indicated that the central bank will adopt measures to control mortgage lending, including changes to its Funding for Lending scheme a strict credibility for borrowers.

The Bank of England has indicated that it is watching the UK's housing market carefully for signs of overheating as the prices of houses rise and mortgage lending increases in the country.