UK double-dip revised away: City reaction So overall it does look as if UK economic history has been revised in a negative direction. It certainly looks as if the UK is a step further away now from escape velocity... We suspect that this, coupled with some inflation projections in August, will be enough to tilt the balance for the MPC to sanction more QE. Jens Larsen, RBC Capital Markets The very significant fall in the savings ratio was interesting. From just under 6pc it's fallen to just over 4pc, after it had hovered around 6pc for the last few years. It's down significantly. Personal disposable income has been weak in Q1 while consumption has held steady. Household demand is still pretty good but household finances are shaky and susceptible to fluctuations. The recession in 2009 now looks deeper and there was no double dip. This is interesting historically, but in a macroeconomic sense it's not significant. It was a shallow double dip before and so not calling it one now is really just semantics. Howard Archer, IHS Global Insight There was also mixed news on latest developments in the economy. GDP growth was confirmed at 0.3pc quarter-on-quarter in the first quarter but the year-on-year growth rate was halved to 0.6%. However, the quarterly breakdown of GDP in the first quarter was generally healthier than previously reported with consumer spending growth revised up and overall investment now shown to have edged up rather than fallen. In addition, the drop in exports was almost revised away. Indeed net trade is now shown as strongly positive in the first quarter as imports fell markedly. However, business investment did fall markedly in the first quarter, which is a concern. A disappointing development saw real household disposable income fall back by 1.7pc quarter-on-quarter in the first quarter of 2013 which left it down by 0.3pc year-on-year. This undoubtedly reflected higher inflation, very low wage growth and faltering employment at the start of the year.