Thursday 3 November 2022

Richard Burge, Chief Executive of London Chamber of Commerce and Industry (LCCI), said: "We are deeply concerned by the Bank of England’s forecast that the British economy will be in a recession until mid-2024. This would mark the longest recession in our modern history. With the cost of doing business at an all-time high and still climbing, the Bank of England’s biggest interest rates rise in over 30 years will only serve to heighten business’ economic concerns and make financing investment more expensive. Small businesses, the lifeblood of London’s economy, will feel this rise acutely and we urge the government to relieve some of the mounting pressure on these SMEs.

"While the move to increase interest rates to 3% is intended to curb inflation, the new government must use the Autumn Statement to do everything in its power to restore macroeconomic stability and encourage the return of business confidence. We implore the government to be measured in the burden they place on already badly strained businesses, which will be crucial to driving an eventual economic recovery."

ENDS