Osborne is on track to rebalance the economy

It may look diminutive in between Easter and the Royal Wedding, but tomorrow is still a big day in the political calendar. It is, after all, the day when we hear the official growth estimate for the first quarter of this year. A negative number, and we shall have experienced two consecutive quarters of shrinkage — which is to say, the country will be back in recession. A positive number, and we shall have avoided that unhappy fate. So what are the forecasters saying? The consensus among bodies such as the NIESR and the CBI is around 0.5 percent, which – as Duncan Weldon explains in a very useful post – is barely enough to compensate for last quarter’s snow-induced hit, but is still some sort of growth. The Chancellor himself is said to have told Cabinet today that the economy is “on the right track.”

Of greater long-term significance than the headline growth figure, though, might be the shifting patterns that underlie it.