Prospects for the UK Economy

Ray Barrell, Amanda Choy, Simon Kirby and Rebecca Riley

National Institute Economic Review, 2005, vol. 194, 34-53

Abstract: GDP growth remained below trend into the second half of this year. Early estimates of GDP show the economy expanding by 0.4 per cent in the third quarter of the year, similar to the rate we projected when constructing the forecast. The economy has now expanded at a rate below 0.6 per cent for five consecutive quarters (chart 1), and this is now affecting the annual figures. Our forecast shows GDP growth this year at 1.7 per cent. This is the weakest growth rate observed in the past decade in a single calendar year.

Date: 2005
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