Here is a bundle of good economic news from Albion. The UK’s top business lobbying organization CBI released its assessment of the state of the British economy. Thus, the economic situation is getting better underpinned by some signs of improvement. According to CBI, the recovery will not be spectacular but more solid and better-rooted. Third quarter reports and strong indicators contributed to the revision of earlier estimates. The CBI experts raised their growth forecasts for the UK economy from 1.2% in August to 1.4%. The specialists see acceleration of the UK’s economy up to 2.4%. “The recovery that started in the service sector has fanned out to manufacturing and construction, and is shaping up to be more broad-based,” the CBI’s director general, John Cridland, commented John Cridland commented. The Office for National Statistics also confirmed positive dynamics, citing strong growth indicators in all business segments. Complied with the official report, the UK’s economic indicators increased 0.8%. However, cheer data prompted investors to fear possible interest rate hikes by the central bank. The BoE, nevertheless, eased the situation assuring that there are no reasons to worry yet. The regulator will not increase the interest rates unless unemployment is above 7% threshold. Currently, 7.7% of Britons are still unemployed.
