CBI: UK will return to growth in second half of 2012

The UK will come out of recession in the second half of the year, bouncing back from negative growth in the first two quarters.

The Confederation of British Industry (CBI) has cut growth forecasts in the UK for 2012 from 0.9% to 0.6% but said the economy will return to growth in the second half. The Office of National Statistics revealed preliminary data last week that showed the economy had shrunk by 0.3% in the first quarter. However, the London Olympics and demand for manufacturing, translating into jobs and investment, will lead UK GDP back into positive territory after July, said the CBI, according to the BBC. Growth in Q2 will be dampened by the Queen's Diamond Jubilee Bank Holiday but predicted growt...