Umunna: GDP figures highlight uncertainty into 2011
Treasury Select Committee member Chuka Umunna MP has commented on the revised Q3 GDP figures released today, with growth having been revised down by 0.1% to 0.7%.
Mr Umunna said:
“These figures underline the continuing uncertainty over the future prospects of our economy and the government’s approach.
“Given this uncertainty and the fragility of the recovery, these figures call into question the severe austerity measures which the government is implementing.”
On November 25 when giving evidence to the Treasury Select Committee, monetary policy committee member Dr Adam Posen voiced concerns over the government’s austerity package, saying that it is “rare that an austerity programme is this large”, adding that “it is unusual for an economy to be contracting this much when it is not yet under crisis”.
“It is my personal assessment that the short-term effects of the government’s fiscal plans will be quite contractionary.
