This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-21998652
The article has changed 5 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
UK to avoid triple dip recession, says BCC | UK to avoid triple dip recession, says BCC |
(about 1 hour later) | |
The UK is set to avoid falling back into recession, according to the British Chamber of Commerce (BCC). | |
The BCC believes a strong performance by Britain's service industries during the first three months of the year has kept the economy growing. | |
The weakness of the pound has also given exports a boost, it said. | The weakness of the pound has also given exports a boost, it said. |
The BCC's survey of more than 7,000 firms also showed improvements in the manufacturing sector, although employment had weakened. | The BCC's survey of more than 7,000 firms also showed improvements in the manufacturing sector, although employment had weakened. |
David Kern, BCC chief economist, said the results suggested the economy had continued to grow in the first three months of 2013. | |
He said this was contrary to the picture of the economy being painted by official figures. | |
"The survey reinforces our assessment that recent [official] gross domestic product figures have exaggerated the weakness of the UK economy and the volatility in output," he said. | |
"If an announcement of negative growth in the first quarter is misleadingly described as a triple-dip recession, confidence will again be damaged unnecessarily." | "If an announcement of negative growth in the first quarter is misleadingly described as a triple-dip recession, confidence will again be damaged unnecessarily." |
'Tortuous road' | |
The Office for National Statistics (ONS) will give preliminary estimates of GDP growth for the first quarter later this month. | |
Its figures show the economy shrank by 0.3% in the last three months of 2012. An economy is considered to be in recession if it contracts for two consecutive quarters. | |
If the UK economy does contract in the first three months of the year, it will have fallen back into recession for the third time in five years. | |
The BCC expects the UK economy to record "positive but subdued growth" in 2013. | |
John Longworth, director general of the BCC, said the survey's figures suggested a "long and tortuous road to recovery". | |
"These results provide a glimpse of the as-yet-distant sunlit uplands of recovery," he said. | "These results provide a glimpse of the as-yet-distant sunlit uplands of recovery," he said. |
"Businesses up and down the country are working hard to drive the economy, create jobs and export, but they cannot accelerate this process alone." | "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 BCC survey found that conditions for both the services and manufacturing sectors were improving, but were still much worse than before the financial crisis. | |
The services sector saw some of the biggest improvements, with strong domestic sales and exports. |