Recession over for now, say economists
Published:  11 June, 2009

UK: Britain's recession is over for the time being, according to the results  …

of a poll of economists published by the Financial Times.

Eleven out of 20 experts surveyed by the newspaper said the UK economy had stopped shrinking in June and was likely to start growing in coming months.

Those who believed the economy was still contracting said the end of the downturn was near.

JP Morgan economist Malcom Barr told the FT he expected "a transition into modest positive growth as the data move into the third quarter".

Most of the economists who reported that the economy was still shrinking suggested that the downturn was close to ending.

"The outlook for gross domestic product over the remainder of the year has improved dramatically... the recession is over," Alan Clarke of BNP Paribas told the newspaper.

Alistair Darling had predicted in this year's Budget that growth would return to the UK by the final quarter of 2009 –meaning the chancellor has been pessimistic compared to the poll of economists.

However, other bodies such as the International Monetary Fund (IMF) have suggested that the economy will continue to shrink next year, with the IMF suggesting a fall of 0.4% in 2010.




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