Trading Perspective UK market
Our latest Trading Perspective report has a focus on the UK market.
The United Kingdom, one of the three largest economies in Europe with Germany and France, was an active member of the European Union (EU) from 1973 to 2016, although it chose to remain outside the Economic and Monetary Union. On 23 June 2016, UK citizens narrowly voted to leave the EU.
With fewer than nine months to go until the UK begins its formal process of leaving the EU, politicians, business leaders and workers are gearing up for considerable change.
According to economic studies published, GDP growth is projected to remain modest at around 1.2% in 2018 and 1.3% in 2019, owing to uncertainties about the outcome of Brexit negotiations. Inflation is projected to fall gradually to slightly above the 2% target of the central bank by the end of 2019.
Credit risk profiling in the UK is also changing for many businesses, following recent high-profile insolvencies, including Carillion and Palmer & Harvey. In this context, overall bank lending, for example, is still proving hard to come by in a challenging economic environment, many businesses are turning to supply chain finance as an alternative way to boost their working capital.
Aon UK Limited is authorised and regulated by the Financial Conduct Authority. FPNAT.391