Commenting on the latest GDP figures, Mark Littlewood, Director General at the Institute of Economic Affairs, said:
“These latest figures are great news for the UK economy, but reaching this point has taken far too long.
“Persistently high levels of government spending, regulation and taxation have hampered the speed of recovery in the UK. Although today’s figures are certainly cause for optimism, the UK still faces significant challenges. Productivity in the UK remains worryingly low, with GDP per capita still four percent below the UK’s pre-crisis peak.
"The figures prove that it is possible to cut day-to-day government spending without harming economic growth. Politicians must learn from this and go further. Only much lower government spending will improve the UK's growth prospects and allow the space for long overdue tax cuts."
Notes to editors:
The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems.
The IEA is a registered educational charity and independent of all political parties.