The U.K.'s newly announced "right to buy" scheme will not fuel a potentially dangerous housing bubble similar to that seen in the subprime mortgage crisis in the U.S., the U.K.'s Finance Minster George Osborne told CNBC on Thursday.
One of the most eye-catching measures announced in Wednesday's budget was a 3.5 billion pound ($5.3 billion) mortgage scheme for struggling buyers, which will effectively buy a stake in a home of up to 20 percent if the buyer raises the other 5 percent of the deposit. The government is also set to guarantee 130 billion pounds ($195 billion) of mortgages for three years, allowing banks to provide more loans to people that can't afford the large deposits.