Brexit will slow UK economy for rest of 2019, forecaster warns

Howard Archer, the EY Item Club’s chief economic adviser, said: “Delays to Brexit, a difficult domestic economic and political backdrop and slower global economic activity have resulted in a weaker outlook for UK GDP growth this year.” The report said the Bank would probably leave interest rates at 0.75% – where the base rate has been set since August last year – throughout 2019. However, it added that a 25 basis point hike over the summer to 1% could not be ruled out, if the economy continued to show resilience and the labour market strengthened further.