I have no knowledge about UK property, but this sounds highly unlikely. Perhaps the "stop house prices falling" is just clumsy expression but, though the banks have not exactly been proving themselves geniuses in recent times, they would be extremely foolish to try that sort of King Canute manoeuvre. Even in individual property calculations, would they not be better accepting their losses rather than digging themselves further in. If this is right, they really are morons.

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