In spite of the euphoria amongst some members of the political classes following last week’s emphatic election result, the future trajectory of UK economy is still uncertain.
Indeed, figures from the Office for National Statistics (ONS) would suggest that the much-trumpeted ‘recovery’ is still fragile.
According to the Office for National Statistics (ONS) the UK’s economic recovery slowed in Q1 2015 from 0.6% in Q4 2014 to 0.3% in the first quarter of this year, according to preliminary estimates. Worryingly for the government, the ONS has also confirmed that growth in Q1 2015 was the slowest quarterly growth since Q4 2012.
The ONS’ figure is much weaker than many accountants and economists had anticipated, and the statistics suggest that the UK economy remains under intense pressure in key areas like construction, where output fell for back-to-back quarters.
So, what do experts think about this information on the economic recovery?
John Allan, national chairman, Federation of Small Businesses (FSB), believes that whilst GDP growth remains positive, the latest figures confirm that the government and the country cannot afford to be complacent about the long term economic recovery:
“The news that GDP growth remains positive is welcome – although the slowdown shows how we cannot afford to be complacent about the recovery.”
“Despite these figures suggesting growth has cooled in the first quarter of the year, our members continue to tell us they are optimistic, with many expecting to grow and take on new staff in the first half of 2015.”
“These figures underline once again the importance that government works with businesses to ensure the conditions are right for their expansion and job creation plans.”
“That should be achieved by keeping interest rates and inflation low, and constantly focusing on pro-enterprise policies.”
Is your small business still struggling to keep its head above the water? Have you yet to feel the benefits of the economic upturn? Well, why not speak to the experts at Steven Glicher accountants? Our job, as accountants, is to help small businesses survive and prosper. That’s why we offer an accounting service specifically tailored for small business needs, where we offer expert help and advice on business planning, raising funding, and investment.
For further information call Steven Glicher accountants on 0161 405 8007 or email info@.