The pressure on the pound from Britain’s vote to leave the EU is
stoking inflation, denting household finances and putting a brake on
spending, according to a Guardian analysis.
Official figures this week are expected to confirm the economy enjoyed a strong finish to 2016
as companies and consumers continued to shrug off the shock of the
Brexit vote. But signs of a spending slowdown, corporate jitters around
the triggering of article 50 and rising prices point to a more
challenging growth outlook in 2017.
Seven months on from the referendum, the Guardian’s monthly tracker
of economic news shows the weaker pound is being felt in the real
economy more keenly than ever, as it raises the cost of imports such as
energy and food and that gets passed on to consumers as higher prices in
the shops.
Read more...
