UK Economy Expected to Rebound in Late 2024

EY Item Club Forecasts GDP Growth of 0.9% and Lower Borrowing Costs

UK's economic growth is expected to rebound in late 2024, according to the EY Item Club, a leading forecaster.
The EY Item Club predicts that the UK GDP will grow by 0.9% in 2024, an upgrade from its previous prediction of 0.7%.
Lower borrowing costs due to expected cuts in interest rates from 5.25% to 4% by the end of the year will boost the economy and the housing market.
Consumer spending is expected to rise by 0.9% across the year, more than the previously predicted 0.7%.
Despite the positive outlook, the EY Item Club warns that ongoing geopolitical tensions could push up energy prices, which may slow the decline of inflation and increase costs for households and businesses.