Recession to be worse than 90s slump
The current recession is expected to be worse than the economic slump of the 1990s, the British Chambers of Commerce (BCC) has warned. The BCC’s quarterly economic survey has predicted that UK GDP is expected to decline by 2.9% between the third quarter of 2008 and the third quarter of 2009. This would be greater than the 2.5% drop between 1992 and 1993. The survey also forecast that the UK economy would contract by 2.2% in 2009 — worse than the 1.6% negative growth it predicted last November. BCC director general David Frost said: “Some of the strain can be avoided, but only if the Government can address the two key problems of confidence and cashflow. We must avoid losing viable companies during this downturn.” “It will be business that drives the UK out of ... »