IoD press release  A soft economy requires hard choices to lift growth

“The economy drifted in July, although much as expected, following stronger than expected growth last month. Growth has been volatile recently stoked by tariffs, VED and stamp duty changes, meanwhile good weather and sporting events are believed have given consumer spending a lift in July.

“Growth has held up better than feared this year, but the underlying challenges remain. For consumers, confidence is struggling to lift as inflationary pressures rise once again, eroding real earnings growth, and the labour market softens sharply. And for businesses, plans for growth have been hit by sharp rises in employment costs, and fears of yet more tax rises to come to fill the latest black hole in the public finances. Last year’s Budget was meant to be the reset. This year’s Budget must finally deliver both stable public finances and a convincing growth plan.”