UK economic growth to slow down over next two years

UK economic growth to slow down over next two years

Published at: 2017-02-02 11:01 | Author: CIJ Journal
Economic growth in the UK is expected to slow to 1.7 percent this year and 1.9 percent in 2018, according to the latest forecast by the National Institute of Economic and Social Research (NIESR). Inflation, meanwhile, is expected increase to 3.3 percent this year, up from an average of 1.2 percent in 2016, which could significantly impact household spending. The UK economy grew by 2 percent in 2016. “Robust consumer-spending growth was behind the economic momentum of 2016,” said Simon Kirby, head of macroeconomic modeling and forecasting at NIESR. The inflation rate is expected to drop down to 2.9 percent in 2018.

The world economy, meanwhile, is expected to increase to 3.1 percent from 3 percent in 2016 and to 3.5 percent yin 2018. NIESR warns, however, that its predictions could be impacted by any sudden economic policy changes made by new US President Donald Trump. “Our forecast assumes established policies,” NIESR wrote. “Potential policy changes in the US and any response in the rest of the world therefore pose significant risks to our projections.”

Similar Stories:

BMTS to open factory in Novi Sad
BMTS Technology is building a factory in Novi Sad, northern Serbia. Construction should be  »
Hyundai reduces production in Czech plant
The Hyundai plant in Nošovice in the Czech Republic is giving its employees every other M  »
Klatovy factory producing ARIANE 6 rocket parts
A new production facility in the southern Czech town of Klatovy will be playing a role in  »
Baumer opens new plant in Skopje 1 industrial zone
Baumer has opened a new factory in the Skopje 1 technology industrial development zone in  »
How does Bucharest’s investment market compare to Prague’s? There’s little compari   »
How much are you lending on infrastructure projects in Slovakia? How does it compare to ot   »
Should we believe people in the market when they say they’re working on five to six deal   »
Going into 2016, most observers assumed Czech retail assets would be a major investment ta   »