Services driving UK growth
THE powerhouse services sector is driving an upturn in UK business confidence as the economy heads to a pick-up in growth in 2014.
There is an excellent opportunity for government to expedite UK economic recovery by increasing public investment.
Services, which make up about three-quarters of the economy, saw a “substantial” improvement in confidence in April according to the latest business trends report by accountant BDO. This contrasted with a “bleak” outlook for manufacturing.
BDO partner Peter Hemington said: “There is an excellent opportunity for government to expedite UK economic recovery by increasing public investment.”
Business lobbying organisation the CBI urged government to improve finance to firms and cut red tape to drive up exports. It forecasts UK output growth of 1 per cent this year, with 2 per cent in 2014.