(Sharecast News) - The UK will face one of the worst recessions and weakest recoveries in the G7 in the coming year, as households pay a heavy price for the government's policy failings, economists say. A clear majority of the 101 respondents in the FT's annual poll of leading UK-based economists said the inflationary shock caused by the pandemic and the Ukraine war would persist for longer in the UK than elsewhere, forcing the Bank of England to keep interest rates high and the government to run a tight fiscal policy. More than four-fifths expected the UK to lag its peers, with GDP already shrinking and set to do so for much or all of 2023. - Financial Times




The first of five consecutive days of national rail strikes have begun, closing much of Britain's rail network and leaving only a skeleton service for commuters on urban and intercity lines. Passengers were being urged to attempt to travel only if necessary, with about 20% of trains expected to run and scheduled hours of operation cut back to between 7.30am and 6.30pm. Members of the Rail, Maritime and Transport union at Network Rail and 14 train operators are striking for two 48-hour periods, starting on Tuesday and again from Friday. - The Guardian

House prices are on course to suffer their biggest decline since the financial crisis, with economists warning of a market "correction" this year caused by rising borrowing costs and a likely recession. Two thirds of economists surveyed by The Times expected house prices to fall by more than 4 per cent, with most warning of near-double-digit declines, making 2023 the worst year for the housing market since 2009. - Times

Crucial pre-launch testing of an ambitious state-backed project to help tens of millions of workers to keep track of their pension arrangements has fallen behind schedule, experts have warned. Sources familiar with the pensions dashboard programme said the Money and Pensions Service, the organisation responsible, had not been able to meet all indicative timelines, including providing detailed testing requirements to the first tranche of pension schemes that are due to be connected with the central hub. - Times

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