A STABLE outlook for businesses in the Thames Valley with UK economic growth rate at 2.5 per cent for 2001, was forecast by a senior economist at Lloyds TSB when he spoke at a recent seminar at Adams Park, home of Wycombe Wanderers.

Andrew Pipe predicted that steady economic growth in the UK was set to continue in the year ahead despite the huge downturn in US and Japanese markets, and spoke on how this could affect business strategies locally next year.

He told guests: "Unemployment is at an extremely low level, resulting in high consumer confidence and rapid growth in spending. This should mean that the UK economy continues to grow, albeit at a slower pace, and there is no evidence to suggest that this should change dramatically in the near future."

Mr Pipe pointed out the two most likely threats to his positive forecast were the impact of possible further global stock market falls and a more pronounced downturn in the US.

But he said neither are expected to lower UK economic growth much below the two per cent mark. Mr Pipe also believed the pound would weaken against the euro which would be good news for manufacturers exporting to the continent. Lloyds TSB commercial area director Jenny Clayton joined him at the seminar.