“Our central case in the event of a vote for Brexit is that uncertainty grips the economy. This could take around 1.0-1.5 percentage points off the GDP growth rate by the second half of 2017. This would push our 2017 growth forecast, currently 2.3%, into the 0.8-1.3% range,” the analysts said.
“And if sterling were to fall by around 15-20% (as our currency strategists predict), UK inflation could rise by up to 5 percentage points. In the event of a vote for Brexit, concerns about deflation could swiftly give way to worries of stagflation.
Terror!
October 2017:
The UK's economy had higher than expected growth in the three months to September - increasing the chances of a rise in interest rates in November.
Deloitte's chief economist Ian Stewart said the figures "show that, despite the Brexit headwinds, UK growth is good enough to give the Bank the green light for a rate rise next Thursday".
Chancellor Philip Hammond said: "We have a successful and resilient economy which is supporting a record number of people in employment.
And with economic growth more robust than many economists expected, those who support that direction of travel on the MPC will be emboldened.
http://www.bbc.co.uk/news/business-41747940
The future's bright - the future's Brexit!
