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UK is far from out of the economic danger zone

01 November 2011

Commenting on today’s GDP figures, Andrew Sissons, researcher at The Work Foundation, said:

“Growth of 0.5% is an unexpected piece of goods news for the economy. It is particularly encouraging to see growth in business services, which will be key to the recovery, although growth in the production sector of the economy remains relatively slow.

"But this good news does not disguise a labour market which has been in freefall over recent months, and it is worrying to see government services making the most significant contribution to growth.

"The UK is far from out of the economic danger zone. The greatest threat is of stagnation or low growth over the next year or two, which would most likely lead to further increases in unemployment, and would make it much harder for the government to control the budget deficit.

"These figures should spur the government on to address structural problems in the UK economy, and to put in place the conditions for much stronger growth over the medium-term. Economic recovery requires decisive action to unlock finance for fast-growing firms, to stimulate mass investment in research and innovation, and to address the UK’s underlying trade problem.”



Notes to editors


  1. The Work Foundation spokespeople available for interviews, briefings and written comment include Ian Brinkley, director, Charles Levy, senior researcher and Andrew Sissons, researcher.
  2. A report from The Work Foundation, Britain’s Quiet Success Story: Business Services in the Knowledge Economy explains the vital role that business services play as the biggest sector of the UK economy
  3. The Work Foundation is the leading independent authority on work and its future. It aims to improve the quality of working life and the effectiveness of organisations by equipping leaders, policymakers and opinion-formers with evidence, advice, new thinking and networks. In October 2010, Lancaster University acquired The Work Foundation, forming a new alliance that will enable both organisations to further enhance their impact.


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