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Recovery not expected until 2013

The National Institute for Economic and Social Research publishes GDP estimates.

Results of research undertaken by the National Institute for Economic and Social Research have been published.

The figures show a decline in output of 0.1 per cent in the quarter ending in January.

In the three months ending in December, output declined 0.5 per cent.

The Institute finds that much of the growth seen in January can be attributed to the impact of adverse weather in December.

Forecasts by the institute suggest however that output will not pass its 2008 peak until 2013.

Current estimates place the UK economy at 4.25 per cent of its pre-recession peak.

The institute has also published a comparative study of recovery rates.

The evidence compiled by the institute suggests the 2008 recession has seen a flatter recovery rate than previous financial crises.

Slow recovery in output has been similar across all sectors of the UK economy.

The institute highlights that figures announced today are subject to change as alterations are made to official figures by the Office for National Statistics for the final quarter of 2010.