The NIESR said in a report that UK economy is on course to grow 0.3% in Q3, rebounding from Q2’s -0.2% contraction. NIESR said it’s a “welcome resumption of economic growth”. However, it also warned that “it is not clear how long growth will continue.”.
NIESR added, “Only the services sector is expanding, primarily to meet higher demand from consumers driven by increased household incomes fuelled by rising real wages. But there is a limit to how much further real wages can grow without a pick-up in investment and productivity, and this seems unlikely in the near term.”
