26 January 2017

| CBI Press Team

Press release

The UK economy expanded by 0.6% in the final quarter of 2016, according to the ONS.

Rain Newton-Smith, CBI Chief Economist, said:

'These figures confirm that the economy remained resilient in the wake of the EU referendum, growing 2.0% in 2016 - in line with our latest forecast.

'Services remain the key driver of growth and a recovery in manufacturing also provided some support, although the continued weakness seen in the construction and mining sectors remains a cause for concern.

'2017 will see headwinds to growth building, as higher inflation eats into households' buying power and investment wanes.

'As the UK economy enters a more challenging environment, the Government's recent commitment to a new Industrial Strategy will be an important step in ensuring that prosperity reaches all parts of the UK.'

CBI - Confederation of British Industry published this content on 26 January 2017 and is solely responsible for the information contained herein.
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