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Provisional estimates show that Britain’s recovery from the debt crisis has stalled yet again with real GDP falling by 0.2% in the 1st quarter of 2012.  Many small and medium sized businesses want to grow, have products whose demand is rising and wish to take advantage of a competitive exchange rate - but the fragility of the financial system is holding them back and the Channel 4 news broadcast below is superb in highlighting the weaknesses caused by fiscal austerity and de-leveraging in the banking system. The UK economy has seen almost no growth since the Coalition government took office in May 2010. Plan A isn’t working George.

“The performance of the economy in the past four years has been the worst in peacetime for at least a century” (Video news report here)

Fears of construction companies

       

See also: BBC News: UK economy shrank by more than first thought

Update: August 2012: UK recession less deep than thought (BBC news)

 

 

 

 

 

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