Stronger UK Economy Despite EU Struggles
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
While the European Union surrounding the United Kingdom seems to continue struggling, the United Kingdom is beginning to see numbers improve at the completion of this year’s second quarter, according to information released by the International Monetary Fund. Considered to be one of the fastest-growing economies, its repeated growth for the last several quarters proves it is finally reaching pre-recession standards.
While the European Union surrounding the United Kingdom seems to continue struggling, the United Kingdom is beginning to see numbers improve at the completion of this year’s second quarter, according to information released by the International Monetary Fund. Considered to be one of the fastest-growing economies, its repeated growth for the last several quarters proves it is finally reaching pre-recession standards.
Six years ago, the United Kingdom began to slowly slip into a recession, and has worked its way back up ever since. In the recent second quarter, the economy hit numbers that have not been seen since the beginning of 2008, which started the UK financial crisis. While many are excited for the vast improvement the country has made in the last six years, many analysts are warning that this is just the beginning of an uphill battle.
Table of Contents
Not All Good News
Although Chief Secretary to the Treasury, Danny Alexander, believes Britain has finally found the ‘fast lane’, others note that the ratio of gross domestic product to each person will not recover for another three years, and a vast majority of Britain’s population are struggling to make ends meet with their current financial status. Despite these issues, the numbers prove that the United Kingdom will certainly surpass most of the western countries in the next several quarters, including that of the United States.
But that means very little. America is currently ran by a socialist, someone many believe that he is trying to turn America into a pitiful European like country that cannot defend itself. This is proven by the President’s actions by taking funding from the military to increase the number of social programs. This is essentially paying people not to work (something Europe knows all about) all while Americans are seeing prices rise for the essentials (food, energy, health care) and their taxes increase. America is not be led by a president who wants to see America become the economic giant that it could be.
The majority of Britain’s economy recovery can be attributed to the services sector, which provided at least three quarters of this year’s output. At the same time, however, the manufacturing, construction, and industrial sectors have yet to be dug out from the lows of 2008 and are striving to attain numbers to help support the belief of an improving economy in the UK.
Better than Nothing for Great Britain
With all of the countries that have been effected by the economic downfall of past several years which was started a lot by Barnie Frank and Alan Greenspan, the United Kingdom has been battling to meet the same amount of recovery as Germany, France, and America (which is not saying much considering America’s underemployed rate) obtained several years ago. Instead, Great Britain has spent the past six years just working to obtain economic stability—meaning no growth has been detected. But at least they are not as worried of slipping into a recession once again.
The United Kingdom’s Next Step
As the numbers are being released to show this recent accomplishment of finally emerging from the depths of their six year recession, the United Kingdom is not all the way out of the water just yet. With the International Monetary Fund releasing information showing an improvement in the financial economy of Britain, there are many other factors that can work for or against the country’s economy as a whole.
A few of these may consist of various taxes, socialized health care which is highly expensive for a country, job regulations, and even manufacturing output and orders. All of these items put together will eventually create a strong economy. But not until the United Kingdom plants their foot and has each area headed in the right direction which will not happen if they do not have a pro-business leader.
Get more special features in your inbox: Subscribe to our newsletter for alerts and daily updates.
Do you have a strong opinion on this article or on the economy? We want to hear from you! Tell us what you think by commenting below, or contribute your own op-ed piece at [email protected]
