GDP figures - PwC's senior economic adviser comments

Published at 10:31 AM on 29 April 2014

In response to GDP data released today, Andrew Sentance, senior economic adviser, PwC, said:

"The UK economy continues to show healthy and sustained growth with GDP up by over 3% on a year ago. Economic growth over the past year is the strongest we have seen since 2007, with all the main sectors - manufacturing, construction and services growing at 3% or more. Business surveys suggest that growth will continue at a similar rate over the spring and summer, with investment picking up and consumer confidence high. As a result, we should expect unemployment to continue to fall as we move through this year.

"The UK is set to be one of the strongest growing western economies this year - and could well see the fastest growth in the G7 in 2014 as the IMF has suggested. Strong economic fundamentals - a flexible labour market, a business-friendly climate for international investment and a wide range of internationally competitive industries, particularly in the services sector - should help to sustain growth in future years.

"The challenge now is to keep the recovery on track and to ensure that inflationary pressures and financial imbalances do not develop and undermine the prospects for sustained recovery. Stronger growth has already significantly eroded the margin of spare capacity in the economy and we are seeing increasing reports of skill shortages and recruitment difficulties. That puts the onus on the Bank of England to start adjusting monetary policy in a gradual way to reflect a stronger economy, and to begin the process of raising interest rates sooner rather than later."

Ends

 

Gill Carson
PwC | Media Relations Manager
Office: 020 7212 1391 | Mobile: 07837 285466
Email: [email protected]
PricewaterhouseCoopers LLP
twitter: @gill_carson
http://www.pwc.com/


Twitter
LinkedIn
Facebook
Google+

About PwC

At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 208,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.

PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2016 PwC. All rights reserved

« Cost of business cyber security breaches almost double | Homepage | Weaker pension schemes set to lose out from the Pension Regulator’s funding guidelines - PwC analysis »

  • Contact us
  • +44 (0) 20 7213 1768

Specific and out of hours contacts