IEA - Weak growth makes interest rate hike unlikely

From: Think Tanks
Published: Fri Oct 13 2023


Julian Jessop, Economics Fellow at the free market think tank, the Institute of Economic Affairs, commented on GDP data showing that the UK economy grew by 0.2 per cent in August

“The latest GDP data show that the UK economy is flipping between growth and contraction on an almost monthly basis.

“The economy will now probably have to grow by 0.2 per cent or more in September to avoid the first of two successive quarters of falling output that would mark a technical ‘recession'.

“At the very least, growth is currently weaker than the Bank of England had been expecting, making another interest rate hike even less likely.”

Notes to Editors

Contact: media@iea.org.uk / 07763 365520

The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems. The IEA is a registered educational charity and independent of all political parties.

Company: Think Tanks

Visit website »