News article

Economy "has still not normalised"

Economy
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The credit crunch and inflation pressures are continuing to impact the UK economy, claims a leading financial body.

The Centre for Economics and Business Research (CEBR) has concluded that a new survey shows that people still regard the current economic situation as unstable a full 12 months on from the first signs of the credit crunch.

Charles Davis, economist at the CEBR, explained: "The situation has still not really completely normalised and what you have seen is the effects of it start to seep through to all different sectors of the economy."

He added that consumers have been hit hard by the downturn in the economy, especially as the housing market slows down.

Meanwhile, the latest British Chambers of Commerce Economic Survey revealed that many businesses are concerned with a possible recession, with historic low results in both the manufacturing and service sectors.

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