EU_GDP

Or take house prices, according to the latest Halifax House Price index, UK house prices have fallen, when looked at on a quarterly basis in the last two months. The Nationwide has house prices falling in each of the last three months.

Data out last week, showed a quarterly contraction in industrial production, and both a quarterly and a monthly contraction in construction.

It is not all gloom and doom, however.

The latest purchasing managers’ indexes (PMIs) tracking UK manufacturing, construction and services were consistent with growth in the UK economy of around 0.5 per cent. That’s not as good as the EU – expected to grow at 0.7 per cent – but better than Q1. Indeed, the PMI for manufacturing has been hovering around a three year high in the last two months.

But falling real wages will take their toll – don’t be surprised to see the UK slow again in Q3.

This is not a good time for the government – whose opinion poll ratings tend to fluctuate with the fortunes of the economy.

The latter few months of this year may be an awful time to call an election – but will the government supported by the DUP forming a wafer-thin majority have any choice in the matter?