EU Referendum: Michael Gove promises clampdown on 'rapacious oligarchs' in Britain in return for Brexit vote

Promise made as rhetoric ahead of next month’s referendum becomes increasingly heated

Justice Secretary Michael Gove (Getty)

Michael Gove has said leaving the EU would allow the Government to crack down on wealthy foreign investors buying property in the UK.

The Justice Secretary, the most senior figure in the Leave campaign, said the Government was “powerless” to block offshore companies from buying homes as investments due to single market rules.

Vote Leave said more than 100,000 properties have been acquired by offshore companies since 1999, and Mr Gove said the UK should introduce "curbs" in order to "help British families get on the housing ladder".

The Government has in fact proposed measures to crack down on foreign companies buying UK property, though this was not referenced in the minister's statement.

Mr Gove said: "If we vote to leave, we will be able to take back control of our economy and make it work better for the British people. At the moment we are powerless to stop offshore companies buying property in the UK because of EU rules,” Mr Gove said.

“This drives up the cost of housing, which is fast becoming unaffordable for all but the super-rich.

“We should introduce curbs that would help British families to get on the housing ladder.”

According to MailOnline, a source close to Mr Gove said: “Michael has seen first-hand in London how rapacious oligarchs have snapped up the best houses simply because it is somewhere for them to park their money. They leave the homes empty, meaning whole areas become dead zones.”

Mr Gove’s claims are the latest volley fired at the remain campaign, led by Prime Minister David Cameron, and follow a savage attack by Mr Gove and Boris Johnson on Cameron’s record on immigration.

The attacks come after a poll of 600 economists showed 88% would fear a long-term fall in GDP if the UK leaves the EU.

Mr Gove’s promise of a clampdown on foreign-owned properties fails to mention that the government has already begun some work to tackle the problem.

New government proposals set out by the Department for Business Innovation and Skills in March, call for “foreign companies to provide information on their beneficial ownership before they are able to buy land/property in England or Wales”.