So the "double dippers" are having their day! According to the GDP statistics, the UK economy shrank by 0.2% in the first quarter of 2012 indicating that the UK is back in recession. This is bad news for the government as they try to force through more austerity cuts. The argument that cuts are holding back growth or essential for economic prosperity will run and run.
It is our view that these statistics are perhaps not accurate given the overall volatility of the market and certain industry sectors like construction. What is more the purchasing manager's indexes are showing growth and retail sales rose strongly in March.
Also, as 0.2% is such a small figure could it be within the margin of error given that surely any statistic on the whole economy is only looking at a sampled data.