British Chamber of Commerce reviews GDP predictions
The UK is likely to be more productive than thought this year.
Also In The News
|
The UK's businesses could be throwing away millions on poor coaching due to their failure to assess whether sessions are a success. |  |
Thursday, 02, Sep 2010 01:16
By Chris Malone
British gross domestic product (GDP) will continue to rise steadily over the coming years, it has been claimed.
The British Chamber of Commerce (BCC) has reviewed its outlook and suggested that GDP could grow by 1.7 per cent, 2.2 per cent and 1.8 per cent over the next three years respectively.
This represents a marked rise in estimates made in June and reflects the "unusually strong growth" registered in the three months to the end of June.
However, the BCC warned that Britain is not out of the woods yet, despite its strong performance in the second quarter of 2010.
"The recovery is fragile and risks of a relapse are high. Over the medium term, Britain's recovery faces serious impediments," the organisation warned.
It suggested that growth is likely to remain below the historical average in the coming years following a recession that saw GDP decline to its deepest point since World War II.
Upward trends in the labour market have helped the employment sector. However, the BCC warned that improving figures "mask worrying developments".
Long-term unemployment is on the increase, while many of the positive statistics regarding jobs have been driven by those in part-time work.
In other news, recent research from the Institute of Leadership & Management and Management Today magazine found that staff have more faith in their firm's management if flexible working practices were introduced during the recession, rather than job cuts.