UK Economy Forecast to Rebound in 2024 as Inflation and Rates Fall, Though Risks Remain
• UK economy forecast to rebound in late 2024 due to falling inflation and interest rates • Growth upgraded from 0.7% to 0.9% in 2024 and 1.7% to 1.8% in 2025 by EY Item Club • Recovery bolstered by lower interest rates, tax cuts, retail and property bounce back • Risks remain including high energy prices, persistent inflation and uncertainty around rate cuts • First half of 2024 pivotal in demonstrating if UK can return to growth long-term