UK still bumping along the bottom as Bank of England cuts growth forecasts
- Rising inflation, more quantitative easing, reduced growth forecasts - it's a funny sort of recovery! The Governor of the Bank of England dampens down expectations of an upturn any time soon.
The UK is not out of the recessionary woods yet. Bank of England Governor Mervyn King has downgraded the more upbeat forecast for the UK given only three months ago and warned that the economy will continue “to bump along the bottom" for some time yet. King downgraded the Bank's growth forecasts for this year from 4% predicted in November to 3.5%, but he denied the UK could face the same economic nightmare that is taking place in Greece and insisted that the UK's credit rating is not at risk.
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