Ernst & Young cuts 2011 GDP growth forecast by 1.7%

ERNST & Young has cut its growth forecast for Ireland’s economy by 1.7% for next year.

Its Economic Eye Winter Forecast has cut expected GDP growth from 2.8% to just over 1%.

The consultancy group, which has announced it is recruiting 300 staff, is blaming the “large and front-loaded fiscal squeeze and a rise in net outward migration” for the sharp revision.