UK economic growth forecast cut by BCC

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Construction of CrossrailForm copyright Getty Images

The British Chambers of Commerce (BCC) has downgraded its success forecast for the UK economy, blaming «global headwinds and uncertainty».

It now expects the UK’s saving to grow by 2.2% this year, down from a previous appraisal of 2.5%.

The BCC also cut its growth forecast for 2017 to 2.3% from 2.5%, and has growth of 2.4% in 2018.

It said the downgrade was due to weaker growth in most yards of the economy, reflecting the global slowdown.

The business body said it hope for services and consumer spending to continue driving the UK economy.

BCC acting top banana general, Dr Adam Marshall, told the BBC a «significant number of global representatives» were to blame for the growth downgrades.

«Obviously we’ve seen the turmoil on the monetary markets in recent weeks, we’ve seen commodity prices and the price of oil, in peculiar, up and down.

«You’ve got economies elsewhere like the eurozone with huge stimulus bulks unveiled yesterday where there are questions about the future conduct of those economies and, of course, you’ve got the kind of political uncertainty in place with the Middle East,» he added.

He called on the chancellor to use his Budget next week to off forward road, rail and digital infrastructure projects, and to resist oppressing com nies with more costs and taxes.

The organisation represents across 100,000 businesses in the UK.

The BCC expects annual average growth in household consumption to behindhand from 3% in 2015 to 2.7% this year, dropping to 2.5% in 2017 and to 2.4% in 2018.

It conjectures the service sector to remain the biggest contributor to GDP growth with an bourgeon of 2.6% forecast in 2016, 2.7% in 2017 and 2.7% in 2018.

Manufacturing output is wanted to grow more slowly than services, increasing by 0.5% this year, 1.4% in 2017 and 1.4% in 2018.

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Image caption Former BCC director vague John Longworth resigned on Sunday

During an interview on the Today broadcast, Dr Marshall refused to discuss the resignation of the former director general, John Longworth.

Mr Longworth hand the organisation at the weekend after saying at the BCC’s annual conference that he conjectured the UK had a «brighter» economic future outside the EU.

Dr Marshall denied the row had dented the BCC’s credibility.

«We drink a long standing position of neutrality on the EU referendum debate,» he commanded.

«Of course, that was demanded of us by our owners the local Chambers of Commerce up and down the sticks and that’s because there are very real division in local enterprise communities.»

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