United Kingdom: 2018 Article IV Consultation-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for United Kingdom
IMF Staff Country Reports, November 14, 2018
Source details
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- United Kingdom: 2018 Article IV Consultation-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for United Kingdom
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Bibliographic details
- Published: November 14, 2018
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484384589.002
Brexit status and negotiations
- The United Kingdom is set to exit the European Union in March 2019.
- The United Kingdom is in the process of negotiating its withdrawal from the EU.
- Once an agreement is reached, there will be an implementation period through the end of 2020.
- Complex issues still remain to be resolved, including the future status of the land border with Ireland.
Recent macroeconomic performance and drivers
- Growth over the past year has been moderate.
- The post-referendum depreciation caused an increase in inflation, depressing private consumption.
- Business investment growth has been constrained by protracted uncertainty about the future trade regime and potential increases in trading costs.
- Slack in the economy is limited as weaker demand is matched by slower supply growth.
Outlook and risks
- Growth is expected to continue at a moderate pace, conditional on a smooth Brexit transition and some recovery in labor productivity.
- A key downside risk is an exit
Thematic subjects and keywords highlighted in the report
- Subjects: Balance of payments, Banking, Current account deficits, Income, Inflation, Labor, National accounts, Prices, Production, Productivity, Public debt
- Keywords: Brexit negotiations, Brexit preparation work, CR, Current account deficits, derivatives clearing service, eba stress test, EU exit, Global, IMF staff calculation, IMF staff estimate, IMF's transparency policy, Income, Inflation, ISCR, Productivity, productivity challenge
United Kingdom: 2018 Article IV Consultation-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for United Kingdom, November 14, 2018.
Content in this bundle
- Country Report