UK economy will continue to grow
According to a recent survey, the UK will indeed avoid falling into a third recession during 2013.
The latest quarterly economic survey, carried out by the British Chambers of Commerce (BCC), has confirmed that the UK economy will continue to improve, although the organisation has said that this growth may be ‘subdued.’
John Longworth, the BCC’s director general, commented on the findings, “These results provide a glimpse of the as-yet-distant sunlit uplands of recovery. Businesses up and down the country are working hard to drive the economy, create jobs and export, but they cannot accelerate this process alone.
“The government should be quick to implement the supply-side measures announced in the Budget to get growth moving, and consider new ways to support business confidence, which has continued to rise. It is clear from our survey that any growth this year will be slow and steady, and it is important that this does not veer off course.
This is not the only report to have such positive predictions for the UK jobs market, as reported in several articles over the last four months. Organisations such as Reed’s Job Index, ICAEW/Grant Thornton’s Business Confidence Index and the REC’s JobsOutLook report, have all explained that despite fears of a triple-recession, this outcome is unlikely.
BCC chief economist, David Kern, said, “The surge in the service sector’s export balances suggests that pessimism over UK exports is unjustified.
“However the UK is increasingly becoming a largely service sector economy, and developing the export potential of the service sector is critical to our future long-term prosperity. We need a two-pronged strategy that combines a commitment to cutting the deficit, with a relentless drive to boost growth and the economy’s productive potential.”
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