The British economy is said to be moderate this year and weaken further next year while the Brexit talks is in progress, said European Union Financial Affairs Commissioner Pierre Moscovici.
The economic growth of United Kingdom could slump to 1.2 percent in 2018. It was 3.1 percent in 2014.
For EU the growth could go other way. In 2014 it was 1.6 percent and next year it could rise to 1.8 percent.
Moscovici added, “With uncertainty at such high levels, it’s more important than ever that we use all policy tools to support growth.”
Releasing a Winter Economic Forecast on Monday the EU said it is not yet clear the intentions of United States president Donald Trump as his moves are still filled with uncertainty.
Meanwhile, uncertainty is also being projected for France and Germany as both the countries will be going through elections.
Moscovici further mentioned, “We must ensure that its benefits are felt in all parts of the euro area and all segments of society.”
He said European economy has proven resilient to several shocks in recent past amid deficits and unemployment lowering.
The EU performed a bit better late last year and early this year and so the key forecasts were slightly up in the latest report compared to that of November.