Gleeds Q4 2017 Inflation Report: UK prepares for what lies ahead
In line with the current financial markets and the continued uncertainty surrounding Brexit, Gleeds’ latest Economic and Regional Inflation Report shows that the value of the pound is now 18% below its November 2015 peak. Exchange rates are expected to remain sensitive throughout the Brexit negotiations.
Despite this, GDP growth continued from 0.3% in Q2 2017 to 0.4% in Q3 and the Bank of England believes the period of stuttering economic growth has come to an end. Consumption growth is expected to remain slow initially, before increasing in line with household incomes as wage growth starts to recover.
The report also discusses the recent key Budget announcements by the Chancellor relevant to the construction industry, including the drive to improve productivity through the National Productivity Infrastructure Fund (NPIF) in key sectors such as technology, education, support for business and infrastructure.