Britain’s economic growth set to stagnate in second quarter

&Tab;&Tab;<div class&equals;"wpcnt">&NewLine;&Tab;&Tab;&Tab;<div class&equals;"wpa">&NewLine;&Tab;&Tab;&Tab;&Tab;<span class&equals;"wpa-about">Advertisements<&sol;span>&NewLine;&Tab;&Tab;&Tab;&Tab;<div class&equals;"u top&lowbar;amp">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;<amp-ad width&equals;"300" height&equals;"265"&NewLine;&Tab;&Tab; type&equals;"pubmine"&NewLine;&Tab;&Tab; data-siteid&equals;"111265417"&NewLine;&Tab;&Tab; data-section&equals;"2">&NewLine;&Tab;&Tab;<&sol;amp-ad>&NewLine;&Tab;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;<&sol;div><p>Britain&&num;8217&semi;s economic growth is expected to have stagnated in the second quarter&comma; as the manufacturing sector boost wears off while construction declines&period;<&sol;p>&NewLine;<p>Economists believe that gross domestic product &lpar;GDP&rpar; growth will be flat in the three months to June&period;<&sol;p>&NewLine;<p>It comes after growth accelerated to 0&period;5&percnt; in the first quarter&comma; driven by the highest quarterly pick-up in manufacturing since the 1980s as the original Brexit deadline loomed&period;<&sol;p>&NewLine;<p>With the UK&&num;8217&semi;s departure from the bloc now rescheduled for October&comma; companies which spent the first three months of the year stockpiling are set to use up their stores before building up new reserves&period;<&sol;p>&NewLine;<p>However&comma; the industry will also get a boost from a recovery in car production&period;<&sol;p>&NewLine;<p>Although several car plants shifted their annual shutdowns to April in anticipation of Brexit disruption&comma; putting a halt to growth at the start of the quarter&comma; production bounced back in May and is expected to have kept going in June&period;<&sol;p>&NewLine;<p>Samuel Tombs&comma; chief economist at Pantheon Macroeconomics&comma; said this would last for the rest of the summer&period;<&sol;p>&NewLine;<p><em>&&num;8220&semi;The official&comma; seasonally adjusted measure of output will surge over the coming months&comma; as plants will stay open through the summer&comma; rather than close as usual&comma;&&num;8221&semi;<&sol;em> he said&period;<&sol;p>&NewLine;<p>Meanwhile&comma; services are set to be almost flat&comma; with Mr Tombs pencilling in a 0&period;1&percnt; rise for the sector despite a rise in retail sales&period;<&sol;p>&NewLine;<p>Construction&comma; which is one of the most volatile sectors&comma; is expected to be lower in the three months to June&period; However it only accounts for a relatively small slice of GDP&comma; meaning its impact will be limited&period;<&sol;p>&NewLine;<p>Economist predictions are in line with the Bank of England&&num;8217&semi;s forecasts&comma; after it confirmed last week that it expects GDP to flatline in the second quarter&period;<&sol;p>&NewLine;<p>The Bank upped its UK growth outlook to 2&period;1&percnt; in 2021&comma; though it admitted its forecasts were heavily skewed by financial markets now pencilling in a rate cut to 0&period;5&percnt; in the first half of 2020 as they see a 50&sol;50 chance of a no-deal Brexit&period;<&sol;p>&NewLine;&Tab;&Tab;&Tab;<div style&equals;"padding-bottom&colon;15px&semi;" class&equals;"wordads-tag" data-slot-type&equals;"belowpost">&NewLine;&Tab;&Tab;&Tab;&Tab;<div id&equals;"atatags-dynamic-belowpost-68e2bc0ebc4e8">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;<script type&equals;"text&sol;javascript">&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;getAdSnippetCallback &equals; function &lpar;&rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;if &lpar; false &equals;&equals;&equals; &lpar; window&period;isWatlV1 &quest;&quest; false &rpar; &rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&sol;&sol; Use Aditude scripts&period;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;tudeMappings &equals; window&period;tudeMappings &vert;&vert; &lbrack;&rsqb;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;tudeMappings&period;push&lpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;divId&colon; 'atatags-dynamic-belowpost-68e2bc0ebc4e8'&comma;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;format&colon; 'belowpost'&comma;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub; &rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;if &lpar; document&period;readyState &equals;&equals;&equals; 'loading' &rpar; &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;document&period;addEventListener&lpar; 'DOMContentLoaded'&comma; window&period;getAdSnippetCallback &rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub; else &lbrace;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;window&period;getAdSnippetCallback&lpar;&rpar;&semi;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;&Tab;&rcub;&NewLine;&Tab;&Tab;&Tab;&Tab;&Tab;<&sol;script>&NewLine;&Tab;&Tab;&Tab;&Tab;<&sol;div>&NewLine;&Tab;&Tab;&Tab;<&sol;div>


Discover more from London Glossy Post

Subscribe to get the latest posts sent to your email.

- Advertisement -
Exit mobile version