London Bankers Will Invest $1.6 Billion of Bonuses in Homes, Savills Says - Bloomberg

London Bankers Will Invest $1.6 Billion of Bonuses in Homes, Savills Says - Bloomberg

London bankers and other financial- services employees will spend about 1 billion pounds ($1.6 billion) of their 2010 bonus money on homes in the U.K. capital, 17 percent less than last year, Savills Plc said.

The purchases may not stop prices of London luxury homes from falling next year, though the drop probably won’t exceed 1 percent, Savills said in a statement. Values rose about 2 percent this year, helped in part by approximately 1.2 billion pounds of 2009 bonus money, the broker estimates.