Govt revises target on UK credit crisis recovery to 2010

The Government has revised its economic growth targets, predicting the UK will not start to recover ...

The Government has revised its economic growth targets, predicting the UK will not start to recover from the credit crisis until 2010. In last week's PBR, Alistair Darling said he expected GDP to drop to 0.75% at the end of 2008 before moving into negative territory next year. During the last Budget in March, the Treasury had forecast economic growth of 2.5% during 2009. This latest revision is the most dramatic on record. A £20bn fiscal stimulus package has been promised to counter the slowdown and shore up the economy. It will be funded by Government borrowing of an extra £78bn, aro...