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BCC says 'Fragile" economy is too slow

The UK's economic recovery is not progressing quickly enough. That's according to a new survey by the Coventry-based British Chambers of Commerce (BCC).

Its warning came as the report estimated the economy only grew by 0.3 per cent in the second quarter of this year.

The chamber's survey of 6,000 businesses said the country's economic state was "fragile, particularly at a time when the government is continuing to reduce the deficit".

It suggested that more support needs to be available for private sector businesses and warned the Bank of England against any rise in interest rates.

BCC chief economist, David Kern, said: "Our economy is out of balance. The public sector is too large and the private sector is too small.

"To minimise dangers of a setback, the government must implement more growth-enhancing policies that will enable private sector firms to increase productivity and drive the recovery forward."

The news follows a survey published on the 11th of July, suggesting confidence among UK manufacturers was at its lowest level in two years.

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