Press Release: Commission assesses updated Convergence Programme of the United Kingdom

The European Commission adopted 15.2.00 a Recommendation to the Council of Ministers on the updated Programme of the United Kingdom (1999-2005). The Commission conclusion is that the budgetary projections of the updated programme are in line with the requirements of the Stability and Growth Pact and the Broad Economic Policy Guidelines agreed at the Cardiff European Council. The updated programme presents the macroeconomic and budgetary perspectives for the period 1998-99 to 2004-05. Economic growth is expected to be around its trend rate over the period of the programme, estimated to be 2 ½ % a year. The budget is expected to show small surpluses to 2001-02 and small deficits thereafter. The debt to GDP ratio is expected to fall to 38% in 2004-05. On the basis of the Commission Recommendation, the Council is expected to adopt a formal opinion on the updated United Kingdom Convergence Programme on 28 February 2000.