EU Commission Cut Growth Forecast for UK

The European Commission had cut down its economic expectation for the growth in Britain, with predictions that next year UK will decline beyond its EU neighbors.

According to the executive arm of EU, it outlined a 1.1% lift for the country’s GDP in the year of the imminent divorce and further anticipated for a steady trading condition of Britain.

However, recent projections showed that Brexit risks influenced investment growth of 1.5% in 2017 and will slow down for the next two years. The detailed assessment indicates an excellent growth of the euro area for about 10 years in 2017, as the United Kingdom was beaten by Greece in terms of development. The Commission had revised its growth higher among other 19 countries from the bloc, showing a 1.7% to 2.2% increase, slightly declined to 2.1% and 1.9% in 2019.

The recovery in the Eurozone bolstered due to improvement in the global economy and the stimulus programme by the  European Central Bank (ECB), in spite of the significant delay in the UK because of some margin since the economic disaster.

The central bank persisted in spite of its low-interest rates and asset purchase programme is in a bid intended to heightened further activity such as increasing wage levels, showing signs that inflation is currently in the process.