The Chancellor responded to the ONS December GDP
statistics.
Chancellor said:
“The fact the UK was the fastest growing economy in the G7 last
year, as well as avoiding a recession, shows our economy is more
resilient than many feared.
“However, we are not out the woods yet, particularly when it
comes to inflation.
“If we stick to our plan to halve inflation this year, we can be
confident of having amongst the best prospects for growth of
anywhere in Europe.”
Additional information:
- The IMF are predicting that 90% of advanced economies will
see a decline in growth in 2023. Germany, Italy and France saw
similarly weak growth in Q4 2022.
- Today’s figures show the UK was the fastest growing economy
in the G7 in 2022.
- The Bank of England are now forecasting that a recession will
be shallower than previously predicted. In November the OBR said
that government policy will reduce the depth of recession.
- Since 2010, the UK has grown faster than France, Japan and
Italy. Since the EU referendum, we have grown at about the same
rate as Germany.
- Cumulative growth over the 2022-24 period is predicted to be
higher than Germany and Japan, and at a similar rate to the US.
- The government is maintaining record levels of capital
investment - £600bn over the next 5 years – including investment
in critical infrastructure like Northern Powerhouse Rail, HS2 and
Sizewell C, and safeguarding the highest ever R&D budget.
- To support business to invest and innovate, the government
has permanently set the Annual Investment allowance at its
highest ever level of £1 million, introduced a £13.6 billion
package of business rates support, and committed to reviewing
EU-derived regulations in key growth sec
