UK economy 'still weak'

The UK may experience difficulties in sustaining fiscal policies because of the national debt, according to the EU Commission.

It has recently published a report which names the UK as one of a number of Eurozone countries which may experience problems with their economy due to age-related expenditure and national debt.

This could potentially have a knock-on effect on unemployment and those seeking to get credit.

David Kern, economic adviser at the British Chambers of Commerce (BCC), said: "As far as the demographics and the ageing population, that is a very long-term problem. There's nothing much one can do about it. In some cases [the UK] has worse problems, in some cases we are better."

According to the quarterly economic survey published this month by the BCC, the economy is still frail, and a sustainable recovery cannot be guaranteed.