It's official: The recession is 'almost over'

NIESR claims that the recession that gripped Britain would be over in next few months; however GDP and output per capita has long way to go.

16:15 09 May 2014

Britain is finally coming out of the great recession that started in 2008 according to a leading thinkthank. The National Institute of Economic and Social Research (NIESR) said that UK is few months away from returning to its pre-crisis strength. 

 

Its director, Jonathan Portes tod BBC Radio: "It is quite important symbolically that the economy is, or will very shortly be, bigger than it was in 2008. 

 

"But, as far as individuals are concerned, what really matters is how rich we are – per capita GDP – and that's well below the level of 2008 and won't get back to its previous level for a couple of years."

 

The announcement came after official figures showed that manufacturing sector has continuously rose in production in recent months. The Office for National Statistics confirmed that factory output registered the biggest jump for almost 15 years.  

 

Rob Wood, chief UK economist at German bank Berenberg, agreed with the forecast. He said: "The UK is heading for another strong quarter of growth and the recovery is broadening. Today's data were mixed but on balance still pointing to solid recovery."