Abstracting from the effects of the snow, the big picture remains one of pretty feeble high-street activity. But we doubt consumer spending growth will weaken further. CPI inflation now appears to be on a firm downward trajectory. And there have been clearer signs of a revival in nominal pay growth. This should help consumer spending growth to pick back up from 1.2% in Q4 to about 2% in early-2019 and allow the economy to re-gain some momentum.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services