Mark Bolsom, Head of the UK Trading Desk at Travelex, the worldâs largest non-bank FX Payments specialist, said, âGiven the bad weather in the early months of 2010 and the negative impact it had on many businesses, this figure could have been a lot worse. Itâs encouraging that the economy sustained growth even when adverse weather conditions prevented many people getting to work.
âCertainly the government will be relieved that the bad weather didnât derail growth, but I donât think the figure really lends itself to any particular political party â itâs fairly neutral."
Bolsom continues, âMany commentators have speculated this week that as economic data becomes consistently stronger, the Bank of England are likely to raise interest rates sooner than expected. I feel it is very unlikely they will do so. Even if GDP had met the forecasted 0.4% growth, it still wouldnât have been strong enough to support an interest rate hike. I think itâs safe to say rates will stay at 0.5% until 2011 at least.â