Then after the Bank of England Governor, Mark Carney reduced interest rates, even more questions were asked about whether the UK economy could experience a new slump? However, it appears a decrease in the country's economy is no longer on the cards, according to experts.
Both Credit Suisse and Morgan Stanley have said, according to the latest growth figures, that there is little chance of a so-called Brescession in 2016 and 2017.
A report done by the banks have shown that there was an increase in the country's main industries which are services, manufacturing and construction, during the month of August. So it appears that Brexit has not had the impact some thought it would.
Morgan Stanley, JP Morgan and Credit Suisse have reverse-ferreted on their #Brexit recession predictions this week. "Expert Economists" LOL— Euro Guido (@EuroGuido) 7 September 2016
"Given the resilience of the data, combined with some political stability and the fact that people do not know how much Brexit will affect them, we now expect subdued growth, but not a recession," said Credit Suisse economist Sonali Punhani in a recent interview.
In early August, the Treasury did a survey which showed how Credit Suisse was among the most pessimistic banks when it concerned the British economy. Morgan Stanley followed suit and said there would be a decrease in growth.
"First, the EU and the associated trading arrangements are of crucial importance for the UK economy, since the EU accounts for about half of the UK's international trade and investment," a spokesperson for Morgan Stanley said.
However the bank still expressed concern over the future arrangements of the country and the negotiations, which could lead to various different outcomes, and there is still uncertainty if this will be positive or negative for the economy.