Reacting to the latest GDP data from the ONS, David Bharier, Head of Research at the BCC, said:
“Today’s GDP figure of 0.1% growth for the three months to April further indicates the UK economy is trapped on a low-growth trajectory. Our own forecast expects 0.3% growth for the whole of 2023 as our research continues to show that most SMEs are still holding back on their investment plans.
“Our forecast also expects a 4.7% decline in exports this year. Further upcoming changes on trade with the EU, such as new reporting requirements and import charges, will also add more pressure to exporters, many of whom have seen diminished activity due to mounting trade barriers.
“Following three years of economic shocks, a stronger investment environment could be created by easing the tightness in the labour market, tackling stubbornly high inflation, and significantly improving our trading relationships.”