What's happened
The OECD has upgraded the UK's GDP growth forecast for 2024 to 1.1%, surpassing several G7 nations. This follows a recovery from a mild recession in late 2023, although inflation remains the highest in the group at 2.7%. Chancellor Rachel Reeves emphasizes the need for continued economic reforms.
Why it matters
What the papers say
According to The Guardian, the OECD described the UK's economic growth as 'robust' and noted that it has outpaced several G7 nations. Phillip Inman highlights that the UK is still expected to face inflationary pressures, with prices rising faster than in other developed countries. Meanwhile, The Independent reports that the Bank of England's cautious approach to interest rates reflects ongoing concerns about inflation, despite the positive growth outlook. James Sillars from Sky News emphasizes that the OECD's upgrade is significant, but warns that geopolitical tensions could still impact future growth.
How we got here
The OECD's latest report reflects a recovery in the UK economy after a recession in late 2023. The upgrade in growth forecasts comes amid rising wages and consumer spending, despite ongoing inflationary pressures.
Common question
-
What is the UK Economic Outlook for 2024?
The UK's economic landscape is shifting, with the OECD recently upgrading its growth forecast for 2024. This change raises questions about the factors driving this growth, the challenges that remain, and the proposed reforms by Chancellor Rachel Reeves. Here’s a closer look at the current economic outlook and what it means for the UK.
-
What is the Current UK Economic Outlook for 2024?
The UK's economic landscape is shifting, with recent forecasts indicating a positive growth trajectory. As the OECD upgrades the GDP growth forecast for 2024, many are left wondering what this means for inflation, reforms, and the overall economic health of the nation. Here are some common questions about the UK's economic outlook and the factors influencing it.
More on these topics
-
Rachel Jane Reeves is a British Labour Party politician serving as Shadow Chancellor of the Duchy of Lancaster and Shadow Minister for the Cabinet Office since 2020. She has been the Member of Parliament for Leeds West since 2010.
-
The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom or Britain, is a sovereign country located off the northwestern coast of the European mainland.
-
Germany, officially the Federal Republic of Germany, is a country in Central and Western Europe. Covering an area of 357,022 square kilometres, it lies between the Baltic and North seas to the north, and the Alps to the south.
-
Japan is an island country of East Asia in the northwest Pacific Ocean. It borders the Sea of Japan to the west and extends from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south.
-
Canada is a country in the northern part of North America. Its ten provinces and three territories extend from the Atlantic to the Pacific and northward into the Arctic Ocean, covering 9.98 million square kilometres, making it the world's second-largest c
-
France, officially the French Republic, is a country consisting of metropolitan France in Western Europe and several overseas regions and territories.
-
Italy, officially the Italian Republic, is a sovereign country consisting of a peninsula delimited by the Alps and surrounded by several islands. Italy is located in south-central Europe, and is considered part of western Europe.
-
The United States of America, commonly known as the United States or America, is a country mostly located in central North America, between Canada and Mexico.
-
The Bank of England is the central bank of the United Kingdom and the model on which most modern central banks have been based.