UK’s annual GDP growth slows; Osborne warned of “bumpy times ahead”

By FXStreet FXStreet (Mumbai) – UK’s GDP data released by the ONS today showed annual the pace of growth in Britain was the weakest in nearly three years hurt by global economic slowdown. The GDP report also showed how the British economy was hit by the slump in oil price which has fallen 70 per cent from its peak in June 2014 and has negatively impacted inflation in most developed countries. UK’s economy has also been hurt on account of the slowdown in China and fall in commodity prices. Chancellor Osborne waned of “bumpy times ahead” and stressed that UK must “stick with plan that’s cutting deficit, attracting business, creating jobs”.

UK’s economy grew 2.2 per cent in 2015, down from 2.9 per cent in 2014. In 2014 it was the fastest-growing major advanced economy. Even after a drop in its annual growth rate in 2015, UK’s economy can be expected to have grown the maximum compared to the other large economies. The IMF last week had forecast that the economy will likely register an annual growth rate of 2.2 per cent through 2015, 2016 and 2017, higher than the other advanced economies.

However, consumer demand has remained broadly solid, with previous data showing …read more

Source:: FX Street