Oliver Mangan: Britain avoids recession, but inflation still weighs heavily

Unexpected resilience shown over the past year with growth concentrated in the services sector

Oliver Mangan

Fears that the UK could have entered recession by now have not come to pass, with the economy displaying unexpected resilience over the past year. 

But only 12 months ago, the Bank of England was predicting that the UK would enter a two-year recession against the backdrop of much higher interest rates, continuing very high inflation and weak global growth. Instead, the British economy has managed to eke out some modest growth since last autumn.