GDP result represents 'modest growth', says CBI

Date: 28th April 2011

Small business owners in the UK that were happy to see the country's GDP increase over the past quarter could be among those interested in the recent comments of one industry expert.

Figures from the Office for National Statistics showed that the economy expanded in the first three months of 2011 by 0.5 per cent.

However, the Confederation of British Industry (CBI) has warned that the UK's recovery remains "sluggish".


John Cridland, director-general of the CBI, said that while the growth was welcome news, the increase simply removed the 0.5 per cent deficit recorded in the previous quarter.

"Growth of 0.5 per cent in the first quarter is in line with our expectations and, while encouraging, it does reaffirm our view that the recovery remains slow and sluggish," he commented.

"The main reason the growth figures were not stronger is the contraction in construction, with the overhang into January from the bad weather. February's construction figures show some recovery."

Posted by Thomas Fletcher