- I will start with the worst....GDP. It came in at -0.2% in Q4. The data showed a stand still service sector as well as manufacturing and construction sectors both stagnating. Technically speaking it would take another contraction in Q1 for the UK to be deemed in recession, though so far survey data has hinted to us that there will be an improvement.
- The UK employment rate pressed to 8.4% although the lower than forecasted rise in jobless claims in December was encouraging. Retail sales remained strong in the lead up to Christmas. But survey data has hinted that this may not have lasted in January.
- The latest borrowing data was better than expected and showed that in the financial year to December 2011 the government is holding close to its original borrowing target. This is despite the government’s autumn statement suggesting that in aftermath of lower growth forecasts the budget outlook has also taken a hit. The budget is no longer expected to be balanced during the current parliament.
Thursday, 9 February 2012
A look at the UK economy ahead of policy decisions
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment