7 February 2019

  |  CBI Press Team

News

It's now crunch time - CBI on the Bank of England forecasts

The Bank has downgraded its forecast for 2019 growth to 1.2%, which would be the weakest expansion since 2009.

It's now crunch time - CBI on the Bank of England forecasts

Rain Newton-Smith, CBI Chief Economist said:

“It’s now crunch time – a no-deal scenario must be taken off the table because the economy is seizing up from uncertainty. The Bank’s forecasts, when put together with recent business surveys, illustrate the harmful impact on the economy the longer that this goes on.

“Brexit uncertainty has kept interest rates on hold this month, and the near-term outlook for the UK economy is also weaker. However, in the event of a smooth Brexit, the Bank expect a lift to economic growth and business investment further ahead, as greater clarity unlocks pent-up demand.”