More Worries as European Commission Cuts Growth Forecast

The UK economy has been in tatters ever since the Recession took a beating out of it, and the real estate as well as the automobile sectors has gone limp. Add to this slow trading and business growth in other sectors such as retail and manufacturing, and the complete scenario does not look too rosy for any London accountant in the UK.


The European Commission has cut the UK economic growth forecast to a tiny 1.1% by this quarter and the end of this year – which is even lesser than chartered accountants in the UK might have guessed. The previous estimate, which was 1.7%, had been cut because of the slow output and growth overall in all of the industries in the UK – including a 0.2% rise in business turnover till June 2011.

However, the European Commission states that the UK is better off from a lot of other states in the region, including debt-ridden Greece, Spain etc. Belgium has been hit with a slow economic growth forecast too, but the fact that the whole of Europe’s net growth might come to a standstill at the end of 2011 is a larger concern than individual states stalling with their economic machines.

As for now, the UK government has decided to force on the austerity cuts on most of its forces, including the police force as well as the army to bail out the country’s economic structure – which gave rise to many a controversy (the performance of the police in the UK riots, joint venture tax issues & the mass VRS of the Gurkha regiment).