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UK economic recovery 'continues'

2010-04-07 06:43:20

The UK's economic recovery is "still on course", according to the British

Chambers of Commerce (BCC).

Its latest survey of 5,500 businesses suggests the UK's economy continued to

grow in the first quarter of the year, avoiding a "double-dip" recession.

This was largely due to the services sector, which continued to grow.

However, the BCC warned that the recovery was weak and "serious risks of a

setback remain", with the manufacturing sector still struggling.

Delicate recovery

The director general of the BCC, David Frost, told the BBC: "Any thoughts we

may have slipped back have not materialised, but the recovery needs to be

nurtured."

Manufacturing orders for the first three months of this year were little higher

than in the previous three months, the BCC survey found.

New orders continued to fall and employment in the sector suffered a setback

after an encouraging fourth quarter in 2009.

However, last week, a closely-watched survey of purchasing managers had said

that activity in the UK manufacturing sector had grown at its fastest pace for

15 years in March.

In the service sector, the BCC found that both sales and orders had risen.

The UK economy emerged from recession in the final quarter of last year, after

six consecutive quarters of contraction.

The latest official figures show the economy grew by 0.4% in the last three

months of 2009, up from the original estimate of 0.1%.

Story from BBC NEWS:

http://news.bbc.co.uk/go/pr/fr/-/2/hi/business/8606499.stm

Published: 2010/04/07 07:02:01 GMT