Stats

Question 1

UK 2024 growth rate

Answer 1

1.1%

Question 2

BoE forecasted growth rate

Answer 2

0.75%

Question 3

UK GDP

Answer 3

-£2.9 trillion
80% services, 15% manufacturing

Question 4

UK unemployment

Answer 4

-4.5% (rising and cyclical)
-21% economic inactivity (long term sickness and mental health issues after covid)
-13% youth (up 2%)

Question 5

UK wages growth

Answer 5

6% growth (higher than inflation)

Question 6

UK consumer confidence

Answer 6

-Very weak
-Cost of living crisis
-High interest rates & tax
-Trump’s tariffs

Question 7

UK inflation

Answer 7

-2.6% (CPI)
-Disinflationary pressure due to low demand

Question 8

UK current account deficit

Answer 8

-2.6% GDP
-Low demand for imports

Question 9

UK min wage

Answer 9

-Up to £12.21 (one of highest itw)
-Keeping CoP high
-Making exports uncompetitive

Question 10

UK exchange rate

Answer 10

-Depreciated against dollar & euro
-Would be good for trade balance but lack of manufacturing and inelastic import demand

Question 11

US and EU growth

Answer 11

US - Slowing
EU - Stagnating
-Bad for our export demand

Question 12

UK budget deficit and national debt

Answer 12

-4.8% GDP (similar to recent years)
-95% GDP

Question 13

UK income tax

Answer 13

-Top bracket threshold (45%) decreased from 150k to 125k
-Frozen to 2028, which will cause huge fiscal drag and so tax revenue for govt

Question 14

UK NI and VAT

Answer 14

-NI cut for employees (8%) but raised for employers
-VAT 20%

Question 15

UK interest rates

Answer 15

-Base rate 4.25%
-Savings ratio 12% (high)

Question 16

UK productivity growth

Answer 16

Average 0.4% annually since 2008