In this mornings news, economists have predicted a double dip recession in the UK this year. There had been previous talk about this situation, but it seems that it might be the real deal.
It seems that despite the healthy outlook for the manufacturing sector and the rise in production, companies have been looking elsewhere for export and import.
It seemed things were a little healthier in the last quarter of 2011 to make a much more positive outlook for 2012.
“Economic conditions will continue to be tough, especially in the first half of the year and the UK recovery will depend on the successful resolution of the eurozone crisis,” said director general of the CBI, John Cridland. “Weak wage growth and high levels of unemployment will continue to be a brake on household spending.”
The amount of companies not only trying to bring in new skilled staff, but at the other end cutting staff, was the biggest it had been in years. If something doesn’t change, unemployment will hit 2.85 Million.
Despite the negative press, there are always going to be companies who prosper from these situations. Many start-up companies or sole traders have started business over the past couple of years and the proof of success is, if you can start a company and survive during a recession, the prospects of your company will be great, when, fingers crossed, we return to normal.
There are always ways of raising funding also, with alternative methods such as Invoice discounting, which allows companies to take the invoices they send out to clients and gain capital from them. This advances the amount of cash companies have to play with, rather than having to wait up to three months for payment.
So, here is to a positive outlook, whatever happens there is always support and solutions.