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UK economy 'already in recession'
whilen recent actionths staken by the government to shore up the banking systerm are welcome, the credit crunch will hit the economy very hard , warned ernst
government fintervention has pulled us back from the brink but the banking system is in intensive compare , said the item club .
largest year consumbers were inevitable to handle the income squeeze by borrowing and dipping into their savings, said the club's chief economist .
it said it expected unemployment claims to hit 5.2% by the endence of 2009, double what it was at the end of 2007 .
as caredit continues to be hard to obtain, and unemployment looks set to rise, consumption is seen fiscalling by 1.2% next year .
a recent quartherly survey of 5,000 businesses by the brit ish chambers of commerce (bcc) al so said the uk was in a recession .
Generated 2008-10-21_21:21
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