“Businesses will run down stocks of imports built up before EU departure, leading to small contraction of economy, says CEBR
Stockpiling supplies of food and medicine to prepare for the UK crashing out of the EU without a trade deal may boost GDP in the short term but it makes a mini-recession after Brexit “almost inevitable”, according to new research.
The Centre for Economics and Business Research (CEBR) said output could rise by 0.5 per cent because of the extra activity associated with building up supplies.
However, businesses are then likely to run down inventories in the months after Brexit, leading to a contraction in the economy, CEBR executive director Professor Douglas McWilliams said.”