NIESR: No UK recovery before 2018

Economic output per person in the UK will not recover to its pre-crisis peak until 2018, according to the National Institute of Economic and Social Research (NIESR).

The forecaster warned "real per-capita GDP" is only half way to recovering from the slump suffered over the past few years, the Telegraph reports.   "This represents the slowest post-recession recovery in output in the past 100 years," NIESR said. It also downgraded its UK forecasts again, cutting its 2013 growth outlook to 0.7% from November's estimate of 1.1%. NIESR also predicts next year will be weaker than anticipated, with growth at 1.5% instead of 1.7%. However, it now believes GDP in 2012 was flat, rather than contracting by 0.1%. The group repeated its calls for "a sign...