© Dukascopy
"We don't see any significant improvement or a change in conditions coming soon"
- Ross Walker, an economist at Royal Bank of Scotland Group Plc.
U.K. third quarter economic growth was confirmed at 0.5%, according to the latest figures published by the Office for National Statistics on Thursday. Meanwhile, the Bank of England cut its 2012 growth forecast and noted that more stimulus may be required in future amid "heightened uncertainty" related to Europe's crisis.
"We don't see any significant improvement or a change in conditions coming soon," said Ross Walker, an economist at Royal Bank of Scotland Group Plc in London.
"There will be a pickup in growth as 2012 progresses, but next year will feel very similar. But there's no alternative. We're in no position to engage in fiscal stimulus."
"Looking ahead, the activity surveys suggest that the economy has already relapsed, with GDP on course to stagnate or even contract a bit in the fourth quarter," said Vicky Redwood, chief UK economist at Capital Economics.