How to vote the UK out of the EU has affected the UK economy? Jun sentence

The pound stutter on weak economic data

Weaker-than-expected data on the economy Sent sterling tumbling earlier this month, before the Bank of England gave the pound a shot in the arm after stating that it may raise interest rates already in August. Having decided to leave borrowing costs unchanged this month, on Threadneedle street still suggests that the economy is stronger than official data suggests. In the manufacturing sector provided the worst of the bad news for the economy last month that put pressure on the pound, after data showed the worst month in five years. Despite the rise in recent days, the pound is still worth more than 10% smaller than before leaving the UK to vote.

The FTSE 100 shook the world trade fears

The FTSE 100 has fallen over the past month amid mounting concerns about a global trade war, caused by trade tariffs Donald trump. The President refused to release the EU (including UK), Canada and Mexico aluminum and steel import tariffs from outside the United States, while threatening $200 billion (£151m) additional duties on Chinese imports. News rocked world stock markets as investors become increasingly concerned about the action, with the FTSE 100 losing more than 100 points over the last few weeks.

‘British exit from the EU is scaring businesses to death’ – experts discuss the data

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Better than expected
Inflation remained unchanged, despite the rise in gasoline prices

Despite petrol prices rising to the highest level in nearly four years, UK inflation unexpectedly remained at one-year low last month, helped by a fall in the value of computer games, sweets and chocolate. Below economists ‘ forecast on growth of consumer prices was steady at 2.4% in may for the second month in a row. Office for National statistics reported that the average price of gasoline increased by 4.6 p. L. in April and may to 125.3 p last month – the highest level since October 2014 – while economists said inflation could rise again in coming months.

Worse than expected
The trade deficit increased to the second maximum

The decline in exports machinery, pharmaceuticals and aviation have contributed to the British trade deficit in goods unexpectedly ballooning into 2 billion pounds to £14 billion in April compared with a month earlier. Economists had forecast a gap between what the UK imports from the rest of the world and sell abroad, will be slightly reduced. Taking into account trade in services UK, and of goods in the three months to April, total trade deficit increased by 1.9 billion pounds to £9.7 billion.

Better than expected
The stages of service sector recovery, but the British exit from the EU is afraid of the shadow

The dominant UK service sector at a faster pace than expected in may, has expanded, according to the latest data published in the last month, in a sign that Britain could have come through the worst of the downturn this year. The last shot of the IHS according to the markit/cips UK PMI for the services sector showed that activity in the sector, which includes banks, restaurants, and hotels recovering to a three-month high. Construction and industry also recorded stronger than expected growth.

Worse than expected
The decline in wage growth, despite low unemployment

Net profit fell despite the UK continue to record low unemployment rates since the 1970-ies, which economists believe, as a rule, must help the workers to demand higher pay. Wage growth, including bonuses, fell by 0.1 percentage points to 2.5%, and excluding bonuses, wage growth, at the level of 2.8%. There is good news, however, with the growing number of jobs, despite the weak economic growth in recent months, with more than 146,000 people in work between February and April than in the previous three months.

Better than expected
The Royal wedding and the sun sparks spree

Royal wedding and warm weather in may, the temptation of consumers back into the stores, according to the latest data published in the last month, providing much needed respite, the UK’s struggling retailers. After heavy snow and frosty weather early in the year, buyers stayed home, but returned to the high street as the sun came out. Office for national statistics said sales rose 1.3 percent in may compared to the previous month, comfortably beating expectations for a rise of just 0.5%. There are also great expectations on the big spending ahead, have the World Cup to encourage more purchases.

Better than expected
Government borrowing fell more than expected

borrowing3

Tax increases may be around the corner in the collateral Fund Theresa may to increase spending on the NHS is £20 billion a year by 2024, however, recent data from the UK’s public finances show borrowing of the public sector is falling further than expected. The budget deficit – the difference between tax revenues and government spending dropped to £5 billion in may, compared with £7 billion in the same month a year ago, beating economists ‘ expectations. There is also an audit for the fiscal year 2017-18 the office for National statistics showing the borrowing come in £1 billion less than previously thought.

Better than expected
Housing prices in the process of gradual recovery

Housing prices rose with five-and-a-half year low in may amid timid early signs of more houses on the market, according to the latest snapshot from the Royal institution of chartered surveyors. On the consumer price index, measuring the balance of surveyors expect prices to rise against those predicting a decline rose to -3 in may from -7 a month ago, exceeding economists ‘ expectations. London continues to point to falling prices in the survey, despite price growth in the Midlands and North-West.

And we this month learned … fears of global trade wars will intensify

this month

The prospect of damage to global trade war is edging closer after trump introduced the steel and aluminum in tariffs for the traditional allies of the US and has raised the stakes in the trade confrontation with China. Although economists believe that the current round of tariff may, there are fears of an escalation which would have serious consequences for economic growth. The world Bank warned last month that greater trade tensions may be bad for world trade, as the financial crisis ten years ago. Meanwhile, economists at Oxford Economics says the impact of the recent threat of the tramp – $200 billion of additional tariffs on imports from China may slow us growth and China’s GDP by as much as 0.3% for both countries. The tension will worry the UK as Ministers to pay attention to international markets deals, as the country will exit the EU.