The UK is experiencing a period of unprecedented uncertainty.
The fundamentals underpinning the UK remain: a globalized outlook,
a strong services sector, a large, technical manufacturing base and
strong rule of law. However, Brexit negotiations, threatened US
trade tariffs and other geopolitical issues such as North Korea and
Russia are leading to short-term ambiguity in market and political
impacts. Among this uncertainty, some areas, such as tech
innovation, are thriving.
Economic outlook
Despite inflation being well above official target of 2% and the
Bank of England raising its base rate to 0.5% in November 2017, UK
growth is projected to remain modest in the near term. Subdued
consumer spending growth and confidence, the drag on business
investment from ongoing economic and political uncertainty,
negative real wage growth and a faltering housing market have had
their impact, however, an export boost, largely driven by the
weakened pound has allowed stronger
