Marc Henstridge, Head of Risk for UK and Ireland at trade credit insurer Atradius says:

 

·         Whilst we are seeing some positive key indicators at the moment, history also shows us that when the UK comes out of a recession, insolvencies and unemployment continue for at least 6-12 months. So whilst many diverse forecasts are being contemplated at the moment, it will certainly take longer than 2010 to make up for the contraction we have seen over six quarters.

 

 

·         We need to go through a period of economic recalibration which will involve two essentially contradictory actions – increasing consumer confidence and spending whilst reducing the deficit in the UK purse by reducing public spending and increasing taxes. This is a tough balancing act and one which will undoubtedly include some measures which may inhibit economic growth. 

 

 

·         The one sole certainty is that the speed of recovery and growth in the UK will be in the hands of the policy makers determined by the election, the key catalyst. As certain economic support programmes come to an end we are likely to see a rise in casualties – managing this will be key for Government.

 

 

Notes to editors

 

 About Atradius:

Atradius provides trade credit insurance, surety and collections services worldwide. With a 31% share of the global trade credit insurance market, we help companies trade safely by protecting them against the risk of payment default in credit-based trade transactions. We have access to credit information on 52 million companies worldwide through our 150 offices located in over 40 countries For information about our products and services visit www.atradius.co.uk

 

 

Further information: 

Atradius Corporate Communications 

Jo Aaron

Tel: 02920 824873 / 07768 233338

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