London's Economy Today - Issue 172 - December 2016

The overview

• The UK’s financial system remains resilient to potential major external shocks.
• A rescue deal looms for one of Italy’s largest banks amidst political instability.
• Oil producing nations agree to cut production with the aim of boosting prices.

Economic indicators

• New orders in London rising with the PMI for new orders recorded at 55.6 in November 2016 compared to 53.7 in October 2016. An index above 50 indicates an increase in new orders from the previous month.
• Surveyors expect house prices to rise in London, as well as in England and Wales with the net house price expectations balance in London at 4 in November 2016 while for England and Wales it was at 14.
• Consumer confidence improves in London and the UK as a whole with the consumer confidence score increasing to 0 in December 2016, from -1 in November 2016 for Greater London; for the UK, the consumer confidence score increased to -7 in December 2016, from -8 in November 2016.

London’s Economy Today supplement: 2016 - An economic review

• The economy and jobs continued to grow through 2016.
• Domestically the biggest economic event of the year was the outcome of the 23 June referendum where the UK voted to leave the EU. There was a depreciation of sterling on the back of this result, however predictions of a sharp and immediate economic slowdown has not occurred.
• UK forecasts still see growth in 2017 and 2018 as being lower than the pre-referendum situation.

London’s Economy Today data on the Datastore

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