Deputy prime minister strikes cautious note in City speech and demands 'balanced and engaged' approach to Europe
The deputy prime minister, Nick Clegg, is warning that Britain's recovery remains "slow and fitful", despite expectations that the UK will finally emerge from recession when GDP figures are released on Thursday
In a speech to financial services bosses at the CityUK annual dinner on Wednesday night, Clegg decided to strike a cautious note as he made an attempt to woo the City and occupy the political centre ground.
The Liberal Democrat leader said his party was a "sensible, centrist and pragmatic" influence in government.
"Bluntly, with the economy still fragile, this is not the time for dogma," he said.
"There's a lot of speculation about what the GDP figures will bring. Whatever they look like, we know that, overall, we've set the economy on the right path.
"But recovery is slow and fitful. Repairing the damage following the shock in 2008 is a gradual healing process. And the government must remain absolutely focused on the reforms that will drive growth."
He also sought to expose differences between the Lib Dems and their Tory partners by insisting a "balanced and engaged" approach to Europe was vital for the UK's prospects.
Analysts predict a 0.6% rise in GDP for the third quarter, potentially lifting the economy out of the longest double-dip recession since the second world war.
The Olympics and a bounceback after the diamond jubilee bank holidays are thought to have helped drag the country out of the mire.