Our UK Powerhouse campaign tracks regional economic growth across the UK and offers expert policy recommendations for the future. Download our latest report on Q2 2018 and how Brexit will affect the UK come March 2019.
Our latest report with the Centre for Economics and Business Research (Cebr) is the first of three focusing on Brexit. It shows how 46 cities in the UK performed in Q2 2018 and how they’ll perform following our expected exit from the EU in March 2019.
Our report looks specifically at how these locations will see different economic outcomes and opportunities once the UK leaves the EU. While the outcomes of Brexit are as uncertain as the weather, we aim to keep up to date by providing a more detailed analysis in January and then again in March 2019.
Download our latest Powerhouse report to get access to valuable insight on the wider economic issues and opportunities that could affect your business following Brexit.
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UK GDP Growth Picks Up
The UK economy grew by 0.4% between Q1 and Q2 2018. The services sector contributed 0.4% to quarter-on-quarter growth. Retail sales added to the growth from increased spending during the World Cup and good summer weather
Gross Capital Formation (GCF), which includes spending on machinery, transport equipment, software and new dwellings, also made a significant contribution of 0.8% to quarter-on-quarter GDP growth.
The UK is still experiencing record levels of low unemployment (4% on average) with the number of people in employment increasing by 42,000 in Q2 compared to Q1. This has seen positive wage growth and increased disposable income for households.
Brexit March 2019
As the deadline for the UK to leave the EU gets closer, there’s been a lot of focus on the potential loss of free, cross-border trade with the EU. This could affect businesses in industries like food and agribusiness, manufacturing and financial services.
However, cities in the south like Reading, Oxford and Cambridge show a high GVA growth that should continue after Brexit. In the north, Leeds and Manchester have a growing employment rate and diverse economies making them more adaptable to change after Brexit.
If the last decade has taught us anything, it’s that the UK economy is resilient and adaptable. Brexit will bring many challenges and it’s important we face these head on while also looking for new opportunities.
Call us on 0370 1500 100 or contact us online to get expert advice on how to prepare your business for Brexit.
Download PDF Report