Further reinforcing the good news surrounding the UK economy, earlier in the month CIPS reported the construction sector at 55.0 and the manufacturing sector at 52.9.
Commenting on these results Chris Williamson, the Chief Economist of CIPS said: “The three PMI surveys for January collectively point to a slight upturn in the rate of economic growth, consistent with GDP rising at a quarterly rate of 0.6% in the first quarter, up from 0.5% in the fourth quarter (of 2015), if current levels are sustained.”
However, he went on to caution that: “cracks are beginning to appear in the country’s resilience to the various headwinds.
“Worries about a Chinese ‘hard landing’, financial market jitters, higher interest rates in the US, more austerity at home and the possibility of ‘Brexit’ and EU tensions have collectively pushed the business mood in the dominant service sector to its darkest for three years.”
On a more positive note, in early January, the National Institute of Economic and Social Research (NIESR) predicted that the UK economy would grow by 2.3% in 2016. This forecast is unchanged from their previous estimate published in November.
Issued by: Enable Independent Financial Life Planners • 25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339 Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority. It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us. NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE
No comments:
Post a Comment