Recovery hopes hit by cut in growth forecast

HOPES of an upturn in the London economy were dealt a blow as a key growth forecast was cut for the second time in three months.

The London Chamber of Commerce said it expected the capital's economy to grow by just 2% in 2003 after seeing a weak first half.

Although the figure is still slightly higher than the growth of 1.9% last year, the chamber had forecast growth of 2.4% for this year in May and as much as 2.8% in February.