Dated: 25 April 2012
Commenting on this morning’s GDP figures, which showed the economy shrank by 0.2% in the first quarter of 2012, Graeme Leach, Chief Economist at the Institute of Directors, said:
“Although the fall in GDP in the first quarter was relatively small, the impact on the economy will be much greater because of the knock to consumer and business confidence.
“Confidence has already take a battering from the euro crisis and today’s news means companies are less likely to boost investment and recruitment this year.
“But even though we are back in recession, the IoD does not believe we should slow down on deficit reduction.”