GDP figures was one-off, says expert

Date: 3rd September 2010

Small business owners in the UK could be among those interested to hear one expert's recent comments regarding GDP growth.

Jonathan Loynes, chief European economist for Capital Economics, said the 1.2 per cent growth recorded by the Office for National Statistics in the second quarter of the year was "obviously … a complete one-off".

The growth was 1.7 per cent higher than that recorded for the corresponding quarter in 2009.

"The question of course is whether it will continue to expand at the pace we saw in the second quarter, and I think that's looking extremely unlikely," the expert commented.

"There are signs as well, I think, of the likelihood of the economy beginning to cool again, not least of course, because the international economy seems to be slowing again too."

Mr Loynes added that job creation is likely to be affected as the global economy begins to "cool again" and a number of organisations could look into shedding more jobs in the coming months.

Posted by Jacob Williams