forecasters have warned that the UK may have slipped back into a
Gross domestic product shrank in the final
quarter of last year and forecasters said this could fall again in
the first quarter of 2012. Even if the eurozone manages to solve
its problems the UK economy is set to only grow by 0.2%, with
unemployment set to rise by 300,000 to just under 3 million.
The recession is blamed on the fact that most
of our exports are taken by Europe, and the UK economy couldn’t
return to normal levels until the eurozone stabilises and continues
its investment in the UK.
UK exporters have been called upon to find new
markets for their products/services so they don’t just rely on
European economies. The Chartered Institute of Personnel and
Development has said that unemployment will stay above the 2.5
million mark until at least 2016.
The next Office for National Statistics on
growth will be published next week, and TUC general secretary
Brendan Barber has urged the government to make jobs growth its
“top priority”. Universities have seen a decline in applications as
many students fail to see the value in gaining a degree as
graduate jobs are
being frozen and so many graduates are still unemployed 6 months
The government needs to take steps to make it
easier for companies to hire graduates, providing National
Insurance holidays to provide graduate employers with the necessary
incentives to make hiring a graduate a possibility and avoid losing
a generation of graduates.