CBI responds to latest GDP figures - March 2024

Ben Jones, CBI Lead Economist, said:

“We take some encouragement from this morning’s figures. Not only do they increase our confidence that the economy will exit its mild recession in the first quarter, but growth was a little stronger than expected. Alongside the recent upturn in some business surveys, this adds to signs that the economy may be turning a corner. 

 “Momentum is likely to remain weak in the near-term, but the outlook for this year is improving. With both energy and domestic inflation moderating faster than expected, the chance of a modest cut in interest rates in the summer has risen. And the recent Budget will deliver some added relief for consumers and build on the measures in the Autumn Statement to strengthen incentives for business investment. 

“Ahead of the General Election, all parties must now focus on creating a business environment which ensures the UK stays ahead of its rivals and maximises the country’s growth potential through targeted fiscal and regulatory levers to support the industries that will power sustainable economic growth in the years to come. “