Signs of a stabilising economy were in evidence this week, although Recovery Watch dare not describe these as “green shoots” lest our readers get the wrong idea.
The Bank of England’s growth predictions this week exceeded even the most optimistic private forecasts. But there was little room for reassurance in the accompanying warning that Britain’s productive capacity has fallen so far and so fast that it will be many years before output looks anything like it did before the financial crisis hit.

UK 

