Transcription of UNITED KINGDOM - OECD
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UNITED KINGDOM - OECD
3. DEVELOPMENTS IN INDIVIDUAL OECD AND SELECTED NON-MEMBER ECONOMIESOECD ECONOMIC OUTLOOK, VOLUME 2017 ISSUE 1 OECD 2017 PRELIMINARY VERSION253 UNITED KINGDOMThe economy is projected to slow in 2017 and 2018, owing to uncertainty about theoutcome of the Brexit negotiations. This projection assumes that the UNITED KINGDOM 'sexternal trade will operate on a most favoured nation basis from April 2019. Theuncertainty, and the assumed outcome, is projected to undermine spending, inparticular investment. Policies have supported private confidence and consumption, buthousehold spending is projected to ease as the combination of a weakening labourmarket and higher inflation reduces real wage growth. The current account deficit hasnarrowed and exports should support growth, stimulated by improved has exceeded the target of 2% reflecting the recent exchange ratedepreciation.
3. developments in individual oecd and selected non-member economies oecd economic outlook,volume 2017 issue 1 © oecd 2017 – preliminaryversion 253 united kingdom
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