THE economy is growing at the fastest pace since the start of the recession, the CBI has reported.
Ahead of today's GDP statistics, the CBI said the volume of output in the three months to January grew at the fastest pace since late 2007, with the outlook for the next quarter buoyant.
The CBI Growth Indicator is a new monthly composite of the leading business organisation’s economic surveys spanning manufacturing, retail and the services sector. It offers an early perspective on economic growth and covers close to 75 per cent of the private sector economy.
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When compared with historic composite CBI economic data, the first Growth Indicator of 630 respondents, shows the fastest pace of growth in output volumes, of 30 per cent since September 2007.
This reflects the recent strong performances seen across the business & professional services, consumer and distribution sectors, while the manufacturing sector posted decent growth, the CBI said.
Katja Hall, CBI chief policy director, said: “A picture is unfolding of a real upsurge in output across much of the UK economy. Many firms in many sectors are feeling brighter about their prospects than they have for a long time, showing the recovery is gaining traction.
“We certainly need companies investing more and creating a bigger footprint in fast-growing markets, and while some risks remain, we expect the economy to continue to strengthen through 2014.
“The new CBI Growth Indicator will be an important barometer of the UK’s current and near-term economic performance, covering around three-quarters of the private sector.”