Based on April 2016 data releases
This month’s headlines:
- UK GDP growth slowed in Q1 2016, as manufacturing and construction output fell
- The latest QES confirmed that UK growth is slowing with key indicators either static or declining
- IMF downgrades global economic outlook as US and Chinese GDP growth slows
The UK economy grew by 0.4% in Q1 2016. This is the thirteenth successive quarter of growth, but it is slower than the growth in the previous Q4 which was 0.6%. The British Chambers of Commerce is currently forecasting growth of 2.2% for 2016 as a whole.
TheQ1 2016 Quarterly Economic Survey (QES)published 11 April 2016highlighted that the main balances for manufacturing and the service sector were generally weaker in this quarter. The next fieldwork period for Q2 2016 will commence on 23 May 2016.
The International Monetary Fund (IMF) has downgraded its outlook for the UK economy. The IMF cut its GDP forecast for 2016 from 2.2% to 1.9%. The downgrade came on the back of the US economy slowing to a 2 year low and China, the world’s second largest economy also slowing.
For full details of this month’s economic review click here.
