UK economy likely experienced a mild recession last year

The Centre for Economics and Business Research (CEBR) predicts that the UK economy likely experienced a mild recession in the second half of last year. However, the think-tank believes that the country is now on the path to recovery, thanks to higher disposable household income and increased spending. CEBR says the UK economy has battled…

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Two in five small firms saw revenues fall over Q4 of 2023

Small business confidence lost ground in the final three months of 2023, reversing gains made earlier in the year, according to the Federation of Small Business (FSB)’s latest quarterly Small Business Index (SBI) with two in five small firms seeing revenues fall over Quarter 4 (Q4). The headline confidence reading was -15.0 points in Q4,…

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Private sector activity endures a year of decline

The private sector activity fell slightly in the three months to December (weighted balance of -8%, from -11% in the three months to November), according to the CBI’s latest Growth Indicator. The latest decline extends a stretch of one-and-a-half years without growth, a trend which firms expect to continue in the new year (-6%). Services…

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Economic data ends year on a high

21st December 2023 Commercial Credit Management | #economy

A year of poor economic data ended on a high as CPI inflation fell by more than markets expected to 3.9 per cent in November – its lowest level since September 2021. But while inflation should continue to fall next year, there are likely to be bumps in the road, reminding us all that cost-of-living…

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UK economy performed better than expected this year

20th December 2023 Commercial Credit Management | #economy

The UK economy has performed better than expected this year, but the outlook remains weak and vulnerable to shocks. UK GDP is expected to continue to grow at a modest pace of 0.5% this year and next, and only pick up to 1.0% in 2025, according to the latest KPMG Global Economic Outlook. Despite the…

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Inflation falls sharply – business industry reaction

16th November 2023 Commercial Credit Management | #economy

UK inflation fell to the lowest rate in two years last month, falling to 4.6% in the year to October from 6.7% in September. Economists have said the main reason inflation has fallen from its peak of 11.1 per cent in October 2022 is due to a reduction in the energy price cap, which limits…

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GDP shows no growth during Q3

13th November 2023 Commercial Credit Management | #economy

Latest Office for National Statistics (ONS) data has shown that the economy failed to grow in Quarter 3 (Q2). While GDP was up 0.2% in September, growth for August was revised down to 0.1% from 0.2%. With GDP flatlining in Q3, it means the UK has avoided a recession in 2023, with this defined as…

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Consumer confidence increases to highest level since January 2022

25th September 2023 Consumer Lending | #economy

Consumer confidence in the UK rose to -21 in September, the best recorded since January 2022, according GfK’s latest Consumer Confidence Index. The index measuring changes in personal finances during the last year is up two points at -13; this is 15 points better than September 2022.  The forecast for personal finances over the next…

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Inflation moderates again in August – consumer credit industry reaction

21st September 2023 Consumer Collections | #economy

Figures from the Office for National Statistics (ONS) showed that prices rose less than expected in August. The annual rate of inflation fell to 6.7% last month, much lower than the rise from 6.8% in July to 7% economists had expected. Core inflation, excluding food, energy, alcohol and tobacco, stood at 6.2% in August, down…

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Economy grows 0.5% – credit industry reaction

14th August 2023 Arrears and Recoveries | #economy

Latest GDP figures have shown that the economy grew 0.5% in June and 0.2% between April to June according to official data from the Office for National Statistics (ONS). The ONS said the struggling manufacturing sector has experienced a modest rebound in the second quarter and that the economy benefitted from the effects of May’s…

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Economy increases 0.5% in June – business industry reaction

Latest GDP figures have shown that the economy grew 0.5% in June and 0.2% between April to June. The struggling manufacturing sector experienced a modest rebound in the second quarter and with the economy benefitted from the effects of May’s extra bank holiday. The Bank of England said last week that it expected annual growth…

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Economy heading for towards five years of lost growth

The National Institute of Economic and Social Research (NIESR) said the country is on course to experience five years of lost economic growth. The reports says that the triple shocks of Brexit, Covid and the war in Ukraine had all contributed to the dire forecast. NIESR says that despite continuing to expect the UK to…

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Interest rate rises predicted to hit growth next year

The UK is facing a prolonged economic slump caused by higher interest rates, economists have warned. EY Item Club has cut its growth forecast for 2024 and 2025. The group said the economy is set to grow by 0.8% next year, less than half its previous prediction of 1.9%. GDP growth will rise to 1.7%…

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