- Recessions are only ‘official’ long after they have hit
- But there a more timely ways of spotting economic turning points
There's a growing change the UK will slip into recession this year as the Bank of England wages war on sky-high inflation. The central bank has increased the Bank Rate to 5 per cent, shocking markets with a 0.5 percentage point increase, as it tries to depress rising prices.
However, the higher rates go, the more likely the UK economy slips into a 'technical recession', as money is sucked out of the economy to cover more costlier debts, such as mortgages, and lending falls, as it becomes more expensive to borrow.