Peter Seabrook is head of UK equities at SG Asset Management and manages the UK growth fund
As expected the terrorist attacks of 11 September continue to dominate the
agenda and Gordon Brown's speech was no exception. A great deal of emphasis
was placed on economic growth in the speech and, despite lowering forecasts
for 2002, the figures still look encouraging with UK growth set to be the
highest in Europe.
As with so many Budget speeches the good news is predominantly in the
headlines but as the detail becomes clear the story loses much of its shine.
However, despite this the action that has already been taken and measures
put forward in Brown's speech, in conjunction with those being put forward
and implemented in the US and other major world economies, will certainly be
good for the UK economy.
Despite this we must not forget that no country can insulate itself from
global slowdown and the UK is certainly no exception. What happens in the
US next year will determine the likely progression of equity markets around
the world but I believe that the decisive action taken on both monetary and
fiscal policy by the UK government will allow us to get through this period
of uncertainty and resume growth. I am confident in predicting a positive
return for equities in 2002.