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Economic growth expected

Economic growth expected
Date: 11/16/2009

The UK's economy is "on the road to recovery", according to Hetal Mehta, senior economic advisor to the Ernst & Young ITEM Club.

She said that "there is little doubt" that improvements in the nation's economic situation are imminent.

Commercial mortgage holders could be among those who will benefit from a buoyant economy, as demand for rental space in the UK's cities and towns could increase.

Indeed, director of policy (real estate) at the British Property Federation Ian Fletcher recently claimed that the latest Jones Lang LaSalle report "may mark the sign of a turning point" in the commercial property market.

The study indicated that there was a first positive all-property total return for over two years in the third quarter of 2009.

Commenting on the wider economy, Ms Mehta said: "The momentum in the economy seems to be upwards at least and people will be bringing forward some of their spending ahead of the VAT rise."

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