Next year the consensus forecast for world growth is 2.6% and for the UK, 2.5%. We are optimistic about next year, however, there are plenty of risks to watch.
Here are our thoughts on the outlook for the UK economy in 2016:
1. Oil Prices – Lower for longer
Oil has continued to tumble throughout 2015 as Brent crude and WTI crude are down close to 40% at 11-year-lows priced at $36 and $34 respectively. Forecasts for oil prices ranging from $25 - $60 per barrel; with Iran pledging to boost exports and OPEC holding a firm stance on their supply we believe that oil has lower to go before it starts to strengthen.