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Country Forecast United Kingdom Updater Product Image

Country Forecast United Kingdom Updater

  • Published: March 2014
  • Region: United Kingdom, Great Britain
  • 17 Pages
  • The Economist Intelligence Unit

The governing coalition of the centre-right Conservative Party and the centre-left Liberal Democrats has a solid majority in parliament, but relations between the two parties are already showing signs of strain ahead of the next general election, which is due in 2015. The main opposition Labour Party enjoys a consistent lead in opinion polls, but this remains fragile and the most likely outcome of the election is that, as in 2010, neither of the two main parties (Conservative/Labour) will secure a parliamentary majority. Another coalition is therefore likely. The Lib Dems remain the natural kingmaker in UK politics.

The election will be fought on the strength of the economy's recovery and on the two main parties' economic policies. Another Conservative-led government would maintain the current strategy of fiscal austerity and public-sector reform. While Labour appears increasingly to accept the importance of deficit reduction, it is also promising a markedly interventionist approach to the economy, and to the increasing cost of living and corporate vested interests in particular.

Scotland votes on independence in September 2014 and the prime minister, David Cameron, READ MORE >

Country Forecast United Kingdom Updater

Country forecast overview: Highlights

Country forecast overview: Key indicators

Country forecast overview: Business environment rankings

Country forecast overview: United Kingdom's business environment at a glanc
Policy towards private enterprise and competition
Policy towards foreign investment
Foreign trade and exchange controls
The labour market

Fact sheet

Outlook for 2014-18: Political stability

Outlook for 2014-18: Election watch

Outlook for 2014-18: International relations

Outlook for 2014-18: Policy trends

Outlook for 2014-18: Fiscal policy

Outlook for 2014-18: Monetary policy

Outlook for 2014-18: Economic growth

Outlook for 2014-18: Inflation

Outlook for 2014-18: Exchange rates

Outlook for 2014-18: External sector

Data summary: Global outlook

Data summary: Gross domestic product, current market prices

Data summary: Gross domestic product, at constant prices

Data summary: Growth and productivity

Data summary: Economic structure, income and market size

Data summary: Fiscal indicators

Data summary: Monetary indicators

Data summary: Employment, wages and prices

Data summary: Current account and terms of trade

Data summary: Foreign direct investment

Data sources and definitions
Global data
Domestic data

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