Boris is leading Britain into bright sunlit uplands
And as wealth floods in from a massive trade deal with America, the Prime Minister can look forward to spearheading the nation’s economy throughout what some have already dubbed the “Roaring Twenties”. The latest revised data from the Centre for Economic and Business Research suggests that despite the uncertainty over Brexit, the French economy failed to overtake the UK economy in the 2016-19 period. It now expects that by 2034 the British economy will be a quarter larger than the French economy. The details are set out today in the CEBR’s latest update of the annual World Economic League Table (WELT).
The USA tops the table, with Britain coming sixth. Others in the top ten are China (2), Japan(3), Germany (4), India (5), France (7), Italy (8), Brazil (9) and Canada (10).
The upbeat picture of the UK’s future outside the EU comes as the Prime Minister looks to tie up a host of lucrative trade deals throughout next year.
Top of the list, once Britain leaves the EU on January 31, is a multi-trillion pound super-trade deal with the USA.
Mr Johnson and US President Donald Trump are set to meet within weeks to strike the much-vaunted deal.
Britain is also negotiating its future trading relationship with the EU. Mr Johnson has vowed this will be sewn up by the end of 2020.
The two blondes will power ahead in 2020
Deals with Australia, Japan and Norway, among others, are also expected to flood in once Britain is free from the shackles of Brussels.
The widely respected CEBR notes this month’s “decisive election result” and highlights the need for the Government to “sort out the country’s future trading relationships”.
And it points out that Britain’s economy continued to grow throughout 2019 despite the Brexit deadlock.
“Despite fluctuations around inventories as various deadlines for leaving the EU came
and went, UK growth continued during 2019 at close to trend rate and the euphoria associated with ending the Brexit paralysis and the decisive defeat of a hard-left Labour party candidate in the December 2019 election could revive inward investment in 2020,” it states.
But the biggest challenge which the UK could face in the early 2020s, the report states, could be maintaining cohesion – with the argument over Scottish independence remaining a headache for Mr Johnson.
The WELT ranks the UK at nine in the world for ease of doing business, well above most other European countries.
And the CEBR expects Britain’s economy to grow annually by 1.9 percent from 2019 to 2024 and by 1.5 percent each year between 2024 and 2034.
But these figures do not include any future trade deals which could boost the economy further.
Cebr Deputy Chairman Douglas McWilliams said: “The World Economic League Table 2020 tracks relative economic progress.
Boris will soon be free of the shackles of Brussels
“The biggest surprise is how well the US economy has managed to do, reaching its highest share of world GDP for 12 years.
“Though our view is that it has reached its high water mark and moving forward the deficit and its trade disputes will start to hold it back. Still, this is a remarkable performance for an old world economy. ”
Other indicators are signalling that confidence in the economy is surging now that Britain is on course to leave the EU next month.
Business confidence has soared to its highest level for more than three years, according to a survey of almost 1000 company directors.
The study conducted by the Institute of Directors (IoD) found confidence in the economic outlook had swung 39 percent points, from the red into the green, between November and December. The confidence indicator, which measures the net balance between firms that are optimistic against those who are pessimistic, had been languishing in the negatives since the spring of 2018.
Tej Parikh, the chief economist at the IoD, said: “Britain’s directors will be entering 2020 with a little more festive cheer than might have been expected only a few weeks ago.”
It comes as the latest official figures showed the UK economy grew at a faster pace than initially thought in the third quarter of the year.
The Office for National Statistics (ONS) said output between July and September was boosted by better growth in services and construction than measured in its earlier readings.
It revised growth to 0.4 percent from 0.3 percent – taking the annual rate of growth to 1.1 percent. Economists had expected no change.
Mr Johnson has promised a new “golden age” for Britain during the next 10 years following the tories election landslide.
The PM said his blueprint for the country would bring trade deals around the world to boost UK jobs, 40 new hospitals, excellent schools in every community and “the biggest transformation of our infrastructure since the Victorian age.”
During a recent call Mr Johnson and the US President discussed their wish to secure an “ambitious” post-Brexit trade deal.
The US ambassador to Britain said last week that the country will enter the “Roaring Twenties” once Brexit is delivered at the end of next month.
Ambassador Robert ‘Woody’ Johnson said Brexit was a “really amazing opportunity for this country”.
“You have a clear direction, you have really good leadership fired up to get something done.
“So yes, a Roaring Twenties, absolutely,” he said.
The original Roaring Twenties refers to the 1920s when a period of economic prosperity was seen in cities such as London, New York, Paris and Berlin and an artistic peak was reached following the bleakness of the First World War.