Just a week after the Chancellor announced cuts of £81 billion aimed at reducing the deficit and restoring credibility to the country’s finances, official figures show that the UK’s GDP expanded 0.8 per cent, well above the 0.4 per cent predicted by economists, as the prospects of a double dip recession receded.
The latest figures improve the chances that Britain will be able to withstand the effects of the Government's austerity package and will reduce the likelihood of the Bank of England pumping more cash into the economy in the coming months.
Even though this is encouraging news, Matthew has been meeting with local businesses and banks to explore how new opportunities for growth can happen.
“I have personally heard of 551 new applications to the banks who have secured an additional £26m in new lending – money that has gone straight into the local economy. The problem does not appear to be the banks not lending but a lack of business confidence. I have therefore begun to work directly with local businesses to ensure they not only have access to business finance but I am also planning a seminar to help more local business get the advise they need to see them through difficult times.”
Photo caption: Local retailers and banking representatives with Matthew