Have foreigners made London unaffordable? Mayor Sadiq Khan launches inquiry

London’s property crisis is best seen at night, when entire streets in Central London are in the dark. Welcome to one of the world’s most expensive places.

Except that hardly anyone will be there to welcome you.

Nearly half of all properties in Central London are owned by foreigners. Most of the owners do not live in their properties but rather use them as second homes or investment properties. Foreign ownership has driven up property prices immensely, and has made life in central districts almost impossible for many poorer Londoners who feel the fallout most severely.

Fixing the city’s housing crisis was one of London Mayor Sadiq Khan’s election promises during his campaign this summer. Now, in an interview with The Guardian, he has announced the launch of an unprecedented inquiry into foreign home ownership and “dirty money” that is allegedly being used to buy property in the British capital. The project will be watched closely in other world capitals facing similar issues, and has the potential to become a model for how to address the issue.

“It’s clear we need to better understand the different roles that overseas money plays in London’s housing market, the scale of what’s going on and what action we can take to support development and help Londoners find a home,” Khan said.