Britain’s economy will grow at its fastest rate since 2007 this year, the British Chambers of Commerce (BCC) said, but called on policymakers to ensure the performance is not a “flash in the pan”.
The business body upgraded its 2014 U.K. GDP forecast for 2014 from 3.1 percent to 3.2 percent and 2015 from 2.7 percent to 2.8 percent. But the BCC added that growth would slow in 2016 with the economy expanding 2.5 percent.
Britain is too reliant on consumer spending to fuel its GDP growth, the BCC said, adding that investment and exports need to be boosted. “Our forecast confirms that Britain has become one of the fastest-growing developed economies. We are leading, rather than following, other major economies when it comes to short-term growth,” John Longworth, director general of the BCC, said in a press release.