The main focus this week on the economic front will be on the first estimate of GDP for the three months to December. The UK economy is so far showing resilience following the Brexit vote. GDP expanded at a 0.6% rate in the three months to September, far above market expectations of a slowdown or a recession in the immediate aftermath of the referendum. UK economic growth looks likely to hold up in the last quarter of 2016, as data released over the previous month suggest. Manufacturing PMI hit a 30-month high in December, while services PMI was well above its long-term average. The unemployment rate remained at 4.8% in the three months to November, its lowest level since September 2005. Therefore, we expect GDP growth to continue at a similar pace in the fourth quarter of 2016.
The long-awaited industrial strategy
The green paper on industrial is expected to be published today. Lee has outlined on Friday the features of Industrial Strategy according to EEF. What will the government's approach to Industrial Strategy look like? Wait and see...