Tag: recession

UK economy leads Europe

UK economy leads Europe

The UK economy emerged from recession yesterday and now leads the way in Europe according to research group Capital Economics. Gross Domestic Product (GDP) grew by one per cent in the third quarter from July to September, the biggest rise for five years, the latest official figures from the Office for National Statistics (ONS) show. […]

October 26, 2012 More
UK out of recession economic research institute claims

UK out of recession economic research institute claims

The UK economy returned to growth in the third quarter according to the National Institute of Economic and Social Research (NIESR), marking an end to the double dip recession. The NIESR estimates that GDP grew by 0.8 per cent in the three months ending in September, building on an improvement seen in the three months […]

October 10, 2012 More
Bank of England optimistic for economic growth

Bank of England optimistic for economic growth

Sir Mervyn King, the governor of the Bank of England, expects the UK economy to return to growth in the next quarter, marking an end to the double-dip recession. Speaking on Channel 4 News, Sir Mervyn warned that recovery would be slow and said that the continuing crisis in the eurozone creates uncertainty for British […]

September 21, 2012 More
Double-dip recession worst for 50 years

Double-dip recession worst for 50 years

The latest official figures reveal that the UK economy contracted by 0.7 per cent in the second quarter of 2012, significantly more than the 0.2 per cent fall in GDP expected by economists. It is the largest fall in quarterly UK economic outlook since the first three months of 2009 and means that the double-dip […]

July 25, 2012 More
Outlook improves for UK economy

Outlook improves for UK economy

The UK economy could recover more quickly than expected according to economic forecasting group the Ernst & Young Item Club. The Item Club expects the UK to return to growth in the second half of this year, marking an end to the double-dip recession. However this depends on a solution being found to the debt […]

July 17, 2012 More
Double-dip recession deepens

Double-dip recession deepens

The UK economy has contracted for three consecutive quarters according to new figures from the National Institute of Economic and Social Research (NIESR). NIESR estimates that GDP fell by 0.2 per cent in the 2012 second quarter, with the extra bank holiday for the Diamond Jubilee contributing to the fall. This follows a 0.3 per […]

July 11, 2012 More
Economic recovery could take until 2017

Economic recovery could take until 2017

Sir Mervyn King, the governor of the Bank of England, does not expect the UK economy to recover until 2017, three years later than his earlier estimate. The Governor made his gloomy prediction to MPs at a meeting of the Treasury Select Committee (TSC). “When this crisis began in 2007, most people did not believe […]

June 27, 2012 More
Inflation falls to 2.8%

Inflation falls to 2.8%

Inflation fell to 2.8 per cent on the Consumer Prices Index in May, from 3 per cent in April, surprising economists who had not expected it to change. Inflation also fell on the Retail Prices Index, which includes housing costs, from 3.5 per cent in April to 3.1 per cent in June. Inflation is now […]

June 19, 2012 More
Credit card lending contracted in April

Credit card lending contracted in April

Credit card lending contracted in April, representing the fourth time it has contracted in the past six months and suggesting that consumer confidence remains low. Repayments exceeded new borrowing by £118m last month, marking the biggest monthly contraction since August 2006, according to the latest figures from the Bank of England. Other types of personal […]

May 30, 2012 More
Personal debt soared prior to credit crunch

Personal debt soared prior to credit crunch

Household borrowing soared in the decade leading up to the start of the financial crisis in 2008 according to a report by the National Institute for Economic and Social Research (NIESR) and the Resolution Foundation. Household spending, GDP and property prices all increased steadily between 1997 and 2007 but the report suggests that this growth […]

May 15, 2012 More
BoE holds interest rates and stops quantitative easing

BoE holds interest rates and stops quantitative easing

The Bank of England is holding the base rate at 0.5 per cent and has decided not to extend its quantitative easing (QE) programme following a £50bn boost to the economy in February. The UK interest rate has now remained at 0.5 per cent for three years, despite high levels of inflation. Consumer Prices Index […]

May 10, 2012 More
Opinions divided over Olympic effect on economy

Opinions divided over Olympic effect on economy

While research by the Alliance Trust suggests that an economic boost generated by the Olympics will help Britain out of recession, rating agency Moody’s is warning that any benefit will only be short term. Alliance Trust suggests that ticket sales for the event and other consumer spending on Olympic related retail products will cause a […]

May 3, 2012 More
UK economy back in recession

UK economy back in recession

Provisional figures from the Office for National Statistics (ONS) show that the UK economy has contracted for two consecutive quarters, which means it has fallen back into recession. The economy shrank by 0.3% in the fourth quarter of 2011 and the latest figures show a contraction of 0.2% in the first three months of 2012 […]

April 25, 2012 More
UK may avoid double-dip recession

UK may avoid double-dip recession

News that the UK’s service sector grew more than expected last month has generated optimism that the economy could avoid falling back into recession. The Markit/CIPS Purchasing Managers Index (PMI) for the service industry increased to 55.3 in March, from 53.8 in February, with a reading of above 50 representing growth. Growth in the service […]

April 4, 2012 More
OECD says UK falling back into recession

OECD says UK falling back into recession

The UK economy is expected to contract by 0.4 per cent on an annualised basis in the first three months of 2012, according to the Organisation for Economic Co-operation and Development (OECD). This represents a contraction of 0.1 per cent compared with the final quarter of 2011 and means that the UK is returning to […]

March 29, 2012 More
UK economy needs fiscal boost

UK economy needs fiscal boost

The UK economy needs a fiscal boost of £10 billion to £20 billion in order to avoid another recession, a leading think tank said today. In its annual Green Budget, The Institute for Fiscal Studies calls for Chancellor George Osborne to include a short-term fiscal stimulus in his budget. This would buffer the UK economy […]

February 1, 2012 More
Gap between rich and poor cities to widen

Gap between rich and poor cities to widen

The economic gap between cities doing relatively well during the economic downturn and those that have been hard hit by the recession, is expected to widen. A report by the Centre for Cities, a research and policy organisation focused on improving the economic performance of UK cities, suggests that a combination of weak growth in […]

January 23, 2012 More
Inflation falls to 4.2%

Inflation falls to 4.2%

The rate of Consumer Prices Index (CPI) inflation fell to 4.2 per cent in December, from 4.8 per cent in November, according to the latest figures from the Office for National Statistics (ONS). This is the third consecutive month that inflation has fallen and December’s figures represents the biggest monthly fall since April 2009. Inflation […]

January 17, 2012 More
UK faces stagnation but may escape recession

UK faces stagnation but may escape recession

Britain’s economy stagnated in the final quarter of 2011 and is “very likely” to contract in the first half of 2012 according to the British Chambers of Commerce (BCC). The euro zone debt crisis caused the economy to stagnate in 2011 and it has failed to improve this year, with the survey suggesting that one […]

January 10, 2012 More
Economists forecast deeper UK recession

Economists forecast deeper UK recession

The UK economy is expected to contract by 1.3 per cent in 2012, according to respected economists at Standard Chartered bank. Growth of 0.6% had been predicted but Standard Chartered’s latest survey, of 350 companies, points to a sharp recession in the face of the ongoing eurozone crisis. The eurozone economy is expected to contract […]

December 12, 2011 More