There is some rare good news for Gordon Brown as he probably nears the end of his Prime Ministerialship - and some bad news for the French and Germans, who were rubbing their hands in glee thinking that the 10-12 year period of the British economy outpacing theirs has come to an end.
With an election looming, Britain's economy is growing faster than that of any other G7 nation except Canada. And this is despite the fact that Britain was the LAST of the G7 nations to come out of recession.
The Organisation for Economic Cooperation and Development (OECD) estimates the UK economy is on course to expand by 0.775% in the three months ending in June.
This is the equivalent of a respectable 3.1% growth annually. Of the G7 nations, only Canada's economy is growing quicker.
Chancellor Alistair Darling, who runs Britain's economy, said the OECD report is a 'vindication' of Labour's economic strategy.
During the recession, Britain's economy shrank by 6%, its biggest decline since 1945.
Germany's economy, on the other hand, is shrinking again. And figures show that the Eurozone, the countries in the EU who have adopted the Euro is, again, stagnant.
Economic lifeline for Brown as OECD says Britain will grow faster than all of G7 except Canada
By Sam Fleming
8th April 2010
Daily Mail
Britain is enjoying one of the fastest growth rates of any top economy, according to a study that will boost Gordon Brown's election hopes.
The Organisation for Economic Cooperation and Development estimates the UK economy is on course to expand by 0.775 per cent in the three months ending in June.
That is equivalent to an annual rate of 3.1 per cent and is more than any other G7 nation except Canada.
The report will add ballast to the Prime Minister's claims to have lifted Britain out of its deepest post-war recession.
But the OECD did issue a stiff warning about Britain's growing public debt mountain.
Chief economist Pier Carlo Padoan said: 'The UK has a very large deficit which means debt is increasing at a very high speed. It's important to have a clear, possibly detailed and credible plan to tackle it.'
Mr Brown is pinning his hopes on a sustained rebound after presiding over a recession that wiped more than 6 per cent off gross domestic product.
He is anchoring his campaign on claims that Conservative cost-cutting would undermine the recovery.
The Tories, on the other hand, have lambasted Mr Brown's claims to have abolished 'boom and bust' policies given Britain has just experienced its worst post-war economic collapse.
The OECD's forecast yesterday for the UK's GDP during the three-month period ending June follows 2 per cent annualised growth in the first three months of the year.
The second-quarter growth forecast exceeds estimates for the U.S., Japan and Germany, the biggest G7 economies.
France and Italy will also lag behind the UK, according to the OECD, while Canada will lead the pack of rich nations.
On a quarterly basis, the OECD estimates suggest British GDP rose 0.5 per cent in the first quarter, before accelerating to more than 0.7 per cent in the second quarter.
That would be the quickest rate of GDP growth since the summer of 2007. It follows 0.4 per cent growth in the last three months of 2009.
Adding to signs of gathering economic momentum, a survey of Britain's all-important services sector showed that firms have started hiring for the first time since 2008.
The numbers come despite worrying EU figures showing that the eurozone retreated into stagnation in the final three months of 2009.
Chancellor Alistair Darling leaped on the OECD report yesterday, saying it is a 'vindication' of Labour's economic strategy.
He said: 'The OECD says we have set the country on the course for faster growth in the coming months - but only if we don't cut support too soon.'
But Mr Padoan warned there was no room for complacency, because Britain needed to take tough action to cut public debt in 2011.
dailymail.co.uk
With an election looming, Britain's economy is growing faster than that of any other G7 nation except Canada. And this is despite the fact that Britain was the LAST of the G7 nations to come out of recession.
The Organisation for Economic Cooperation and Development (OECD) estimates the UK economy is on course to expand by 0.775% in the three months ending in June.
This is the equivalent of a respectable 3.1% growth annually. Of the G7 nations, only Canada's economy is growing quicker.
Chancellor Alistair Darling, who runs Britain's economy, said the OECD report is a 'vindication' of Labour's economic strategy.
During the recession, Britain's economy shrank by 6%, its biggest decline since 1945.
Germany's economy, on the other hand, is shrinking again. And figures show that the Eurozone, the countries in the EU who have adopted the Euro is, again, stagnant.
Economic lifeline for Brown as OECD says Britain will grow faster than all of G7 except Canada
By Sam Fleming
8th April 2010
Daily Mail
Green shoots: The British economy is forecast to grow at a faster pace than most of the world's seven major developed countries
Britain is enjoying one of the fastest growth rates of any top economy, according to a study that will boost Gordon Brown's election hopes.
The Organisation for Economic Cooperation and Development estimates the UK economy is on course to expand by 0.775 per cent in the three months ending in June.
That is equivalent to an annual rate of 3.1 per cent and is more than any other G7 nation except Canada.
The report will add ballast to the Prime Minister's claims to have lifted Britain out of its deepest post-war recession.
But the OECD did issue a stiff warning about Britain's growing public debt mountain.
Chief economist Pier Carlo Padoan said: 'The UK has a very large deficit which means debt is increasing at a very high speed. It's important to have a clear, possibly detailed and credible plan to tackle it.'
Mr Brown is pinning his hopes on a sustained rebound after presiding over a recession that wiped more than 6 per cent off gross domestic product.
He is anchoring his campaign on claims that Conservative cost-cutting would undermine the recovery.
Election boost: Gordon Brown has been handed an economic lifeline
The Tories, on the other hand, have lambasted Mr Brown's claims to have abolished 'boom and bust' policies given Britain has just experienced its worst post-war economic collapse.
The OECD's forecast yesterday for the UK's GDP during the three-month period ending June follows 2 per cent annualised growth in the first three months of the year.
The second-quarter growth forecast exceeds estimates for the U.S., Japan and Germany, the biggest G7 economies.
France and Italy will also lag behind the UK, according to the OECD, while Canada will lead the pack of rich nations.
On a quarterly basis, the OECD estimates suggest British GDP rose 0.5 per cent in the first quarter, before accelerating to more than 0.7 per cent in the second quarter.
That would be the quickest rate of GDP growth since the summer of 2007. It follows 0.4 per cent growth in the last three months of 2009.
Adding to signs of gathering economic momentum, a survey of Britain's all-important services sector showed that firms have started hiring for the first time since 2008.
The numbers come despite worrying EU figures showing that the eurozone retreated into stagnation in the final three months of 2009.
Chancellor Alistair Darling leaped on the OECD report yesterday, saying it is a 'vindication' of Labour's economic strategy.
He said: 'The OECD says we have set the country on the course for faster growth in the coming months - but only if we don't cut support too soon.'
But Mr Padoan warned there was no room for complacency, because Britain needed to take tough action to cut public debt in 2011.
dailymail.co.uk
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