Gross: Osborne must rethink plan to avoid double dip

PIMCO's Bill Gross, manager of the world's largest bond fund, has called on George Osborne to revise his austerity measures to stop the UK falling into recession.

In an interview with The Times, Gross said the Chancellor's package of cuts risks stalling the UK's fragile recovery. Gross added a "mid-course correction" of the fiscal plans would lift the economy as it would not damage the country's standing with bond investors. "The economy in the UK is worse off than it was when the plan was developed, so there should be at a minimum fine-tuning and perhaps re-routing of the plan," he said. "The problem is if the rebalancing of the books is too quick and swift, as this will lead to an economic contraction, which it appears close to in the UK. ...