UK Economic Outlook

March 2013

We see a gradually improving outlook for most UK regions, but the recovery will be slow and bumpy across the country. Consumer spending will benefit from rising employment and a gradual easing of the recent severe squeeze on real incomes, but households generally remain cautious about spending, as do businesses. Conditions remain stormy in the Eurozone, but prospects are better in the BRICs and other fast growing emerging economies and we see these as an increasing focus for UK exports and inward investment.