GDP fell 0.1% in December – business industry reaction

Latest GDP figures has indicated that the UK ended 2023 in recession. The figures showed that GDP fell 0.1% in December, following a 0.2% rise in November. GDP was down 0.3% over the three months to the end of December, a second consecutive quarter of negative growth, pushing the UK into a technical recession. The fall reflects…

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Recession fears are receding

SME anxieties regarding a potential recession have eased by a third (32%) since  Q4 2022, though inflation concerns remain, according to iwoca’s latest research. The findings showed that inder half (49%) of SME finance brokers surveyed report their SME clients having any recession fears––a significant drop compared to 73% in Q4 2022. Economic fears persist…

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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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Risk of recession looms but middle market is more optimistic for 2024

New data released by leading audit, tax and consulting firm RSM has helped to allay fears that the UK economy is already in a recession. While the overall economy stagnated in Quarter 3 (Q3), conditions in the middle market, a key engine of UK growth, remained cautiously optimistic at the end of the year, helped…

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Economy predicted to avoid recession in 2023

The UK should still avoid a recession, although GDP growth is set to remain sluggish for the remainder of 2023 and into 2024 amid headwinds from high interest rates and a weaker-than-anticipated labour market, according to the EY ITEM Club’s new Autumn Forecast. Following a better-than-expected start to the year, GDP growth expectations for 2023 have…

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Recession threat heightening employment risk fears

Employers are becoming increasingly cautious about hiring new employees due to the impending threat of a recession, resulting in BDO’s employment index reaching its lowest level in almost a decade. The index, which measures hiring intentions, dropped for the third consecutive month in September, indicating the weakest reading since 2014. Sectors such as retail, wholesale,…

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Bank lending predicted to rise by £29bn with UK avoiding recession

The UK economy has performed better than expected so far this year, and should avoid recession, leading the EY ITEM Club to upgrade its 2023 UK bank lending forecast for households and businesses. Total loans to households and businesses are expected to rise 1.2% this year (a net increase of £29 billion), improving on February’s forecast which…

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Recession fears receding as small business loan applications rise

Research by iwoca has found that recession fears are receding with small business loan application figures rising. The company says there are signs of confidence returning to the UK’s 5.5m small and medium-sized businesses and the lending market they rely on. The new research, carried out with over one hundred SME finance brokers who collectively…

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UK predicted to avoid recession this year

2nd May 2023 Consumer Lending | #recession

PwC has joined the Bank of England and Office for Budget Responsibility in forecasting that Britain will avoid a recession this year. PwC estimates that the UK economy will grow by 0.1% this year before returning to 1% growth by the end of 2024 and 1.6% by end of 2025. It believes GDP will rise…

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OBR predicts that the UK will avoid recession

Britain will avoid a recession this year, according to an Office for Budget Responsibility (OBR) forecast. The report says GDP will fall by 0.2% this year, with this far lower that the 1.4% downturn it predicted in November. In the longer term, the report says the economy will grow by 1.8% in 2024, 2.5% in…

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Economy to avoid recession but outlook remains sluggish

The British Chambers of Commerce (BCC) has said the UK will avoid a recession this year, but will continue to show sluggish growth and the economy won’t recover to pre-pandemic levels until the final quarter of 2024. The BCC upgraded its outlook after better-than-expected consumer spending and business investment figures. The BCC forecasts the economy…

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UK economy predicted to avoid recession

The National Institute of Economic and Social Research (Niesr) has predicted that the UK is likely to avoid a recession this year. Niesr says that the UK will likely avoid a protracted recession in 2023, but GDP growth is set to remain close to zero. However, with the cost-of-living crisis having a lasting effect on…

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Recession predicted to be deeper than expected

24th January 2023 Arrears and Recoveries | #recession

Economists lexpect the UK to enter a recession this year, with new research from the EY Item Club showing that the recession could be deeper than expected. The forecast reflected findings that showed the rate of economic inactivity had not fallen as quickly as expected, with the number of inactive people rising by half a…

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