UK expects Low economic growth

The UK can expect low economic growth for the next three years, while a no-deal Brexit could dent growth even further, says a forecasting body. The EY Item Club predicted GDP growth of 1.3% this year and 1.5% in 2019, down from 1.4% and 1.6% respectively in its previous outlook three months ago. The forecaster said these figures were based on the assumption that the UK and the EU would agree transition terms. If this did not happen, conditions could be significantly weaker. If the forecaster's prediction turns out to be accurate, 2018 would be the worst year of growth for the UK economy since the financial crisis. Howard Archer, chief economic adviser to the EY Item Club, said, Heightened uncertainties in the run-up to and the aftermath of the UK's exit could fuel business and consumer caution. This is a significant factor leading us to trim our GDP forecasts for 2018 and 2019.