WIREDGOV

The latest GDP statistics show that the UK economy grew by 0.3% in the first quarter.

Rain Newton-Smith, CBI Chief Economist, said:

“GDP growth has eased compared to the second half of last year, with weakness particularly apparent in consumer-facing services.

“This chimes with signs that some of the recent supports to growth are softening. In particular, real wage growth has deteriorated, as inflation is now running up against earnings growth. With inflation set to continue rising, the pressure on household incomes will weigh on consumer spending.

“As the UK looks to redefine its role in the world, the next government must deliver an Industrial Strategy that build on our already solid foundations. A focus on improving openness, innovation and inclusivity will boost productivity and living standards, helping to make us the most competitive economy in the world by 2030.”