Britainâ€™s Financial Sector to Witness Robust Growth
Published By : 19 Jan 2015 | Published By : QYRESEARCH
The Confederation of British Industry on Monday stated that the highest upsurge in business was reported by Britain’s financial sector in close to twenty years in the last three months of the previous year. The CBI, stated that its quarterly financial services business volume index increased from +49 in September to +57 in December. And this has been the highest since 1996 December.
The Director of economics in CBI expressed the boom in the financial sector is supported by higher profits, and a general air of business optimism. Since, the upbeat figures are different from the official data, it shows the output of the financial services over the last three months till October was about 3.2% less than what it was in the previous year.
Industry specialists have also expressed that the declining oil prices may just about help the British economy to as a result grow by 2.9% in the current year. This will be about half a percentage point faster than what was thought in October. Sources have also stated that the matter of falling oil prices occurred at a time when the economic recovery was losing the desired pace. So, the fall in oil prices will perhaps to an extent ensure that the recovery takes place a bit smoothly.
Various asset managers, lenders, insurers, and brokers of the CBI survey have denoted that this sector is still carrying on with the policy of job cutting and is led by the life insurance and the banking sectors. However, certain skill shortages like in that of compliance was also observed in certain areas. Financial services contribute about 10% to the entire British economy, and this is a share that is higher than the other major economies of the world. However, the sector has been struggling quite a lot for restoring the recovery of the economy from the economic crisis of 2008-2009.