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The UK economy is unlikely to enter a recession, according to a think tank

According to a recent report from the Centre for Economics and Business Research (CEBR), the UK economy is likely to avoid a recession in 2020. The think tank’s forecast suggests that, despite the economic impact of the coronavirus pandemic, the UK economy will grow by 0.8% this year. This is slightly lower than the 1.3% growth forecast in February, but still means that the economy will avoid a recession, which is defined as two consecutive quarters of economic contraction.

The CEBR attributes this positive growth outlook to the UK government’s supportive financial measures and the resilience of the UK economy. The think tank expects that the UK economy will rebound to 1.8% growth in 2021, as the government’s support measures and the gradual easing of restrictions help to support consumer spending.

Overall, the CEBR’s report suggests that the UK economy is in a better position than feared, and that there is potential for growth in the coming months. That said, the impact of the pandemic is still being felt and the think tank warns that further restrictions or a resurgence of the virus could lead to a slower recovery.