UK economy 'treading water' since start of year - BCC quarterly economic survey

According to the latest British Chambers of Commerce (BCC) quarterly economic survey, the UK’s economy has been treading water since the start of the year and inflation pressures are easing, diminishing the chances of a Bank of England (BOE) May rate hike.  

The BCC’s director-general, Adam Marshall, noted: “What growth we see in the UK economy is due principally to strong global trading conditions, rather than domestic demand, which remains muted.”

Meanwhile, BCC economist Suren Thiru said: “Inflation is now on a downward trajectory, While we expect interest rates to rise next month, with UK economic conditions subdued and inflation weakening, the case for a further tightening in monetary policy continues to look limited at best.”