#AceFinanceNews – London – October 09 Chancellor George Osborne has warned that the UK economy will be affected by the slowdown in the Euro-Zone economy.
Talking to the BBC, he said this was a “critical moment for the British economy”, which was not “immune” from what was happening on the continent.
The eurozone economy was stagnant between April and June, with the German economy – Europe’s biggest – shrinking by 0.2%.
Mr Osborne said there were steps the UK could take to protect itself.
“The eurozone risks slipping back into crisis, and Britain cannot be immune from that – it’s already having an impact on our manufacturing and exports,” he said.
Official figures published earlier this week showed that growth in the UK manufacturing sector slowed to 0.1% in August.
“We are not immune from what’s going on in the rest of the world, but we can take steps to protect ourselves,” the chancellor said.
“We must stick with our long-term economic plan, so delivering economic stability. We are cutting business taxes, making the UK a place to invest, and that will protect jobs right here.”