The pace of the decline in Britain’s economy is easing, according to the British Chambers of Commerce (BCC) Quarterly Economic Survey.
Each quarter the BCC surveys over 5,000 businesses, and in its report for the second quarter it concluded that “the worst phase of the recession is over.”
While all the key balances remained in negative territory in the quarter, the BCC reported that “the most critical national balances improved… for both manufacturing and services”.
The improvement in the manufacturing sector’s balances was aided by rises in the net balance in home sales and home orders.
The BCC says that confidence levels remain weak by historical standards and that the recent improvement “can only be sustained if the economy continues to stabilize and the recession ends.”
The report adds: “Talk of a recovery is premature. Further corrective measures are needed to support the economy… Sustaining the recovery, and preserving Britain’s international credit rating, depends critically on the adoption of a credible medium-term strategy for improving our public finances and nurturing wealth-creating businesses.”
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