Starmer Growth Pledge at Risk as OECD Downgrades UK Forecast – Guido Fawkes

Starmer Growth Pledge at Risk as OECD Downgrades UK Forecast

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The OECD has downgraded its forecasts for UK growth in its latest outlook report today. It now predicts 1.3% this year and 1% in 2026…

That’s down from the last forecast of 1.4% this year and 1.2% next year. According to the OECD trade uncertainty is mostly to blame and so is “uncertainty on business sentiment and consumer confidence” which will “significantly weigh on growth.” Reeves is blamed in those sentiment reports…

“The drag on external demand, private consumption, and business investment is projected to more than offset the positive effects of last autumn’s budgetary measures on government consumption and investment.”

That would be lower than the 1.1% GDP growth achieved in 2024. So Starmer’s pledge to get the economy growing again would be shot…

The OECD also says there are “very thin fiscal buffers” and fiscal rules are at risk of being broken in “the event of renewed adverse shocks.” If that occurs Reeves may as well resign straight away…