King: Diamond Jubilee to hit UK growth in Q2

Natalie Kenway
clock

The Queen's Diamond Jubilee celebrations will cause the economy to contract between April and June, the Bank of England's Mervyn King has warned.

The Bank's governor said the celebrations, which include an extra Bank Holiday on 5 June, are likely to hit output significantly, much like the Royal Wedding of Prince William and Catherine Middleton did last year, according to the BBC. As a result, he warned the economy would likely contract in the second quarter this year. However, the economy overall will grow in 2012, said King in a speech to the House of Lord's Economic Affairs Committee, expanding by 1% after a "zig-zag" of positive and negative growth. Although the Jubilee, celebrating the Queen's 60-year reign, is likely to...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

UK inflation rises to 3.8% in July

UK inflation rises to 3.8% in July

Core CPI also up to 3.8%

Sorin Dojan
clock 20 August 2025 • 2 min read
Bank of England meets expectations and cuts rates to 4%

Bank of England meets expectations and cuts rates to 4%

Lowest level in two and a half years

Isabel Baxter
clock 07 August 2025 • 4 min read
Think tank warns UK fiscal hole could surpass £50bn by 2030

Think tank warns UK fiscal hole could surpass £50bn by 2030

Government not on track to meet ‘stability rule’

Sorin Dojan
clock 06 August 2025 • 1 min read