The current state of UK economy: official data

The current state of UK economy: official data

These days it has transpired that the economy of Great Britain according to the official data is up by 1.9 per cent in 2016.

Frankly speaking the data anticipated to be bigger, but it is a positive tendency in the economic advancement any way. Good news is that economy continues to develop in disregard of all fears concerning Brexit, which didn’t pay its way.

It has been registered by the Office for National Statistics that GDP was up by 0, 7 % during the last three months of 2016.

In the beginning of March the Office for Budget Responsibility has reconsidered economic prognosis for Great Britain changing the figures from 1, 4 to 2, 0. Then again, runup is then anticipated to be arresred to 1.6 %the next year, before by easy stages of advancement to 2 % by 2021.

The pessimistic economic prognosis concerning Britain’s decision to withdraw from the European Union in the last June turned out to be untenable, due to the fact that cutback of economic activity is not observed.

Nevertheless, it can’t be denied that since Brexit vote there has been explosive growth in escalation in the value of the pound.

Talking about Real household disposable income it has lowered up to 0,4 % during the last 3 months of 2016, and this falldown is considered to be the most dramatic in approximately 3 years.

The data regarding the housing market has relished downturn.

Nationwide reports that British House Price Index contracted dramatically since the middle of 2015.In February there has been registered a takeoff up to 0,6 %, but these days the percentage value is 0,3.

Since the EU referendum there has been observed impairment of sterling value resulting in inflation and wage growth remains at stagnant state and takes off the buying capacity of households.

Howard Archer, IHS Markit economist, made an assumption residential property market  is being more and more  affected by the increasing tough sledding  on consumers and their concerns over the prognosis.

According to Nationwide in 6 regions  there has been observed house price growth accelerate, 6-hold up, and in 1- the East Midland-has been registered the same index as it has been before.

The Southern part of England continues to hold price advance than the Northern part of England, but there was a further narrowing in the differential. Northern Ireland saw a slight pickup in annual house price advance, while conditions remained relatively at the same level in Wales and Scotland.

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