The Office for National Statistics that is ONS has come up with a data which showed that the condition after the double-dip recession is going to even more bad. This has raised quite a lot of concerns. In the first three months of the year, the economy had shrunk by 0.3 per cent according to the statistics of ONS. Initially it was thought that it is going to shrink down by 02. per cent.
The spending of the government has also hit a new record level in the first three months that is up the month of May inspite of the fact the austerity drive had also gone up by 1.6 per cent that is up to 81.5 billion pounds. Because of this 0.4 per cent to the overall growth of the economy were added. Nevertheless the off weak activity that was funded by the tax payers did not give much boost as far as trade, construction and the financial sector were concerned.
Geoff Dicks who works as a chief economist at Novus Capital as well as is a former director of the Office for Budget Responsibility, had to say that nothing much has been as far as public spending is concerned. Along with this Simon Wells who works as a economist at HSBC had to say that the people who thought that the state spending is going to remain the same, they are going to take it as a big surprise. The levels are not going to sustain if the coalition government kept on sticking to the fiscal plans for long.
One of the major reasons of the downfall and weak condition of the economy was the slump that has come in the industry of construction. It had gone down by 4.8 per cent in comparison to the 3 per cent which was thought it was going to be. Trade has also gone down by 1 per cent in the contribution that it gave in the import of the country more than its export. Apply now with pay weekly loans @ www.payweeklyloans.og.uk and get amount you need.
The economists had laid their hopes on one of the most important sector that is the services sector that sum up to the three quarters of the output of the nation but all these hopes were shattered because of the already poor condition of the banking industry. The output in the insurance as well as financial services has also shrunk by 0.8 per cent had done fallen down quite low after 2005.