B2B Economic Outlook - UK - September 2019
What you need to know
In Q2 2019 GDP declined by 0.2%, continuing a consecutive trend of declining growth since 2014 as the manufacturing sector contracted sharply. Whilst the services sector grew, its rate of growth was far lower than the previous quarter.
The Monetary Policy Committee (MPC) voted unanimously to maintain the Bank Rate and made no changes to its stock of sterling non-financial investment-grade corporate bond purchases, exercising caution in the face of economic uncertainty due to Brexit.
Inflation remains near-target at 2.1%, as effects of sterling depreciation subsides. The prices of inputs for manufacturers fell off the back of declining crude oil prices, whilst the price of services grew slightly, led by increases in transportation & storage and information & communications. Wages grew by the strongest rate since September 2015, driven by increase to NHS staff pay, and in the context of tightening labour market.
“The UK economy continues to show signs of slowdown, with GDP reversing slightly as a no-deal Brexit appears increasingly likely. Brexit-related uncertainty continues to hold back investment and confidence, but have so far only materialised as slower growth.
A no-deal Brexit is expected to have a major impact on the services sector, directly through the loss of right to provide services overseas, and indirectly through the disruption of supply chains and the services provided across them, including insurance, logistics and legal services.
These risks come at a time of global economic uncertainty due to trade tensions and slowing growth, which together with the threat of a no-deal Brexit; indicate a difficult period ahead for the UK economy.”
– Francesco Salau, B2B Analyst
This Report looks at the following areas:
- Economic overview
- Business health
- Special focus: services
- What’s next?
What you get
This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.
Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.
Mintel's proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.
Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.
Market reports provide appendices of data to support the research and insight produced. Our tables of data are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.
* This is a sample representation of the report layout and does not reflect the research included in this report.
Why buy from us?
Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.
Buy now and you'll have instant access to the information you need to make the right decisions.
Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.
A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.