Although the country may have faced the worst of its economic troubles, things are still far from over, it has been claimed.
Addressing the Chartered Institute of Housing Conference and Exhibition, global economist Ian Shepherdson said: "Things are still bad, but they are nowhere near as bad as they were.
"When you are contracting by two per cent in a quarter that is absolutely catastrophic."
There is still a lot of data yet to be revealed, Mr Shepherdson continued, which may show that the economy is starting to grow a bit.
He revealed that debt levels in the personal sector stand at about 180 per cent of income after tax, which may restrict the levels of growth previously seen in the economy.
Credit Action reported earlier this month that total UK personal debt stood at £1,459 billion in April and total secured lending on properties at the end of the month stood at £1,227 billion.
Total consumer credit lending to individuals was £232 billion and average household debt in the UK was £9,280 excluding mortgages.