The Office for National Statistics (ONS) today released its latest labour market data, providing insights into the unemployment rate, economic inactivity, vacancies and pay growth.
The headline figure shows that monthly real gross domestic product (GDP) is estimated to have shown no growth in April 2024, following growth of 0.4% in March 2024.
Declan Riddell, Policy Adviser at Staffordshire Chambers, said: “The lack of growth in April underlines the ongoing challenges businesses in Staffordshire face, compounding problems that include skills shortages, borrowing costs and trade barriers.
“However, broader trends, such as the recently revised economic forecast released by the British Chambers of Commerce, as well as three month growth to GDP, come as welcome news for businesses.
“As we approach the general election, it’s crucial for policymakers to address these issues to sustain and build on the recent gains. Staffordshire’s businesses need clear and decisive action from the next government to unlock their full potential and drive regional growth.”
David Bharier, Head of Research at the British Chambers of Commerce, added: “Growth of 0.7% in the three months to April is positive news. Our own forecast, released last week, has upgraded growth expectations for 2024 to 0.8%, rising to 1% in 2025.
“However, while the broader trend is ticking up, downside risks remain. Many businesses we speak to are still held back by skills shortages, high borrowing costs, and trade barriers with the EU. Sectoral performance remains very imbalanced, with retail and hospitality sectors consistently reporting weaker growth.
“With unemployment rising and inflation slowing, pressure will be growing on the Bank of England to cut the interest rate. But to boost investment, any cut needs to be accompanied by clear action from the next government. As we set out in our election manifesto they must prioritise on unlocking growth across skills, business rates, trade, AI and green innovation.”
