WIREDGOV

The CBI yesterday responded to the latest UK economic assessment report published by the IMF.

John Cridland, CBI Director-General, said:

“The IMF’s assessment for the outlook of the UK economy chimes with our own view that a modest recovery looks to be taking shape.

“As things stand, the Government is right to resist calls to change course on debt reduction because this would risk a market backlash, forcing up lending rates and undermining the fragile growth that we have.

“But there is still room for manoeuvre to boost growth and jobs within the current strategy by bringing forward capital investment. The Government must now dramatically step up the pace of action in these areas.

“There is also scope to provide greater clarity in both monetary and financial policy to improve financial market confidence and lending conditions.

“It is important that RBS and Lloyds Banking Group are returned to the private sector as swiftly and as smoothly as possible, so that they can play their full part in supporting the recovery. The best way to do this is to allow them to continue to restructure and operate on commercial terms, free from government interference.”