BoE governor predicts economic recovery

<p>BoE governor Sir Mervyn King has predicted growth in the next quarter.</p>

The governor of the Bank of England Sir Mervyn King has suggested economic growth may be on the horizon, suggesting UK finances could improve in the foreseeable future.

During a live interview with Channel 4 News, Mr King stated that although he may not have a crystal ball, the next three months are likely to see a pick-up in activity.

The official suggested that much of the recovery is likely to be dependent on resolving the eurozone crisis, which he claimed continues to hang over the UK like a "black cloud".

In addition, Mr King touched upon the government's debt-cutting plans – designed to reduce the gap between spending and income by 2015.

He said it would be acceptable if the target was not achieved, with the proviso this was a result of slower-than-expected economic growth.

"I think the next quarter will probably be up. I think we're beginning to see a few signs now of a slow recovery, but it will be a slow recovery," he explained.

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