The IoD has welcomed “sustainable” growth in the fourth quarter of the year, as official statistics released today showed GDP increased by 0.5% in October – December 2015.
James Sproule, Chief Economist at the Institute of Directors, said:
“After volatility in the financial markets during the first few weeks of the year, these GDP figures should settle nerves about the health of the real economy. Growth of 0.5 per cent a quarter is far from remarkable, but with services continuing to power the recovery, and housebuilding expected to undergo something of a revival as the year progresses, this expansion looks sustainable.
“Across the economy, high levels of debt remain a concern – especially at this point in the cycle. This debt bubble can still be deflated with effective monetary policy and it would be wise to take action before it becomes unmanageable.”