Wednesday, March 20, 2013

GDP to grow less in 2013, 2014 than forecast in December - Osborne

LONDON (Reuters) - Britain's economy will grow less this year and next than official forecasts showed in December, Chancellor George Osborne said in his budget statement on Wednesday.

The independent Office for Budget Responsibility now expects the economy to expand by 0.6 percent in 2013 and 1.8 percent in 2014, Osborne said.

The OBR then expects the recovery to pick up to 2.3 percent in 2015, as forecast in December.

In December, the budget watchdog cut its forecast for economic growth in 2013 to 1.2 percent and predicted an expansion of 2 percent next year.

Britain has been struggling to recover from a steep slump in output caused by the 2008 financial crisis, slipping into a second recession since then and now teetering on the verge of a third.

(Reporting by Olesya Dmitracova, editing by Guy Faulconbridge)

Source: http://news.yahoo.com/uk-gdp-grow-less-2013-14-forecast-december-124808602--business.html

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