Slashed growth forecast is worry say TUC
- Published on Monday, 16 July 2012 15:47
- Posted by Scott Buckler
Responding to the World Economic Outlook published today by the IMF, which has slashed its growth forecast for the UK economy to just 0.2 per cent in 2012 (from 2.3 per cent in its June 2011 forecast) and 1.4 per cent in 2013, TUC General Secretary Brendan Barber said
'For the IMF to slash its growth forecast for the UK by more than any other advanced economy is a damning indictment of the government's economic strategy.
'Last summer the IMF predicted economic growth of 2.3 per cent this year. Since then the UK has experienced its first double-dip recession in 40 years and the economy is now not set to recover for at least another year.
'Continuing with the Chancellor's austerity plan is prolonging the depression and risks causing permanent damage to the UK economy, with businesses failing and over a million young people neither in work or training.
'The government must change course and start investing now to boost demand, get people back to work, and get the UK economy motoring again.'