There’s little doubt that the fuel crisis and the broadening product and labour shortages will slow the UK economy’s recovery. This comes at a time when the government is unwinding its fiscal policy support and the threat of an imminent rise in interest rates looms over the economy. As a result, we now expect the economy to stagnate in September and October and to only get back to its pre-pandemic level in Q1 2022, a quarter after the euro-zone.
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