SCCI Comment on the latest Gross Domestic Product (GDP) figures

26th April 2013

Commenting on the latest Gross Domestic Product (GDP) figures for Q1 in 2013, Richard Wright, executive director of Sheffield Chamber of Commerce said: -We have said for many weeks that plus or minus a few tenths of a percentage here or there is not significant.

Whilst positive 0.3 percent is better than negative 0.3 percent, it still means the economy has flat-lined and has been for the last 18 months. -The construction figures are particularly worrying but we should enjoy the services and goods trends. -They underline the absolute necessity that we need to do is gain control of costs to remove the trade deficit and then drive growth to reduce the debt. -The nominal GDP figure out next month is a better indicator. This has not been adjusted for inflation and measures the value of goods and services produced in Britain. If this fails to grow as expected the deficit reduction will falter and the crisis will continue. -The government is right in trying to take control of expenditure, but it must not neglect growth the golden ticket which will boost the economy, bring down the debt and provide businesses with a much-needed confidence boost.