Doughty – Brexit uncertainty to blame for fall in business investment growth

Growth in UK business investment fell to just 0.2% in the last quarter, down from 0.5% in April-June, the Office for National Statistics has announced today.

It came a day after the Office for Budget Responsibility said: “Business investment growth is expected to remain subdued in the face of Brexit-related uncertainty.”

Commenting, Stephen Doughty MP, leading supporter of Open Britain, said:

“The day after the Government’s own forecasters said that Brexit uncertainty was undermining business investment and productivity, the ONS have confirmed that investment has slumped to just 0.2% this quarter.

“Firms still have no idea what our relationship will be with our largest trading partner, but they are now bracing for a hard Brexit where Britain leaves the Single Market, and possibly with no deal at all. That is undermining investment, growth and productivity, and means Brits will have to wait even longer for a pay raise.

“To end the uncertainty and maintain the best possible conditions for British business, the Government must urgently change course and negotiate to keep Britain in the Single Market and the Customs Union for the long term.”

/ends

Notes to editors:

The new figures are reported here: https://www.theguardian.com/business/live/2017/nov/23/uk-growth-figures-business-investment-spending-retail-sales-productivity-downgrade-business-live?page=with:block-5a1695a87b0a7b06af590485#block-5a1695a87b0a7b06af590485