Eurozone Gloom Deepens As UK Recession Looms
The West's leading economic thinktank, Organisation for Economic Co-operation and Development (OECD), says a recession is looming and backs Labour's charge that the eurozone crisis is not to blame.
Fears that the UK economy is heading back into recession were heightened by a leading economic thinktank on Monday when it said the outlook for activity had deteriorated for a seventh straight month.
At the start of a week that will provide a snapshot of inflation, unemployment and high-street spending, the Organisation for Economic Co-operation and Development (OECD) appeared to bear out the main charge made by Labour: that the slowdown in the UK economy predated the intensification of the eurozone crisis.
But the OECD report also showed Britain was not alone in experiencing a gloomier economic outlook, with the other six members of the G7 group of industrial nations – the US, Canada, Germany, Japan, Italy and France – all experiencing slowdowns. The darkening international picture will enable the government to argue that weaker growth, higher unemployment and a bigger budget deficit are the result of factors beyond its control.guardian.co.uk