Not since Valencia gained the boost of having the European Grand Prix awarded to it from 2008 to 2014 has a property market had such a boost from Formula One. All eyes are on Switzerland as Lewis Hamilton’s move to the Alpine country opens the prospect of increasing interest in the investments available on the pistes.

Hamilton, of course, is leaving in part to escape the media clamour, leaving his home town of Stevenage to find peace and tranquility among the mountains. He is not alone in his sport in seeking a Swiss hideaway, as the Times has pointed out, noting that Kimmi Raikkonen, the man who pipped Hamilton to the title, seven times former champion Michael Schumacher and the boss of the sport, Bernie Ecclestone, all have homes in the country.

Economic growth is expected to slow to about 2% in 2008 and 2009, close to the potential rate, with a diminished contribution from net exports. Employment should continue rising, although unemployment may not fall much further. Inflation is projected to rise modestly, reflecting past oil price rises and a high level of capacity utilisation. The government budget surplus will decline.

Should economic growth remain solid in 2008, as projected, a further quarter point increase in policy interest rates is likely to be necessary. Comprehensive removal of remaining non-tariff trade barriers vis à vis the EU would stimulate competition and trade, raising supply capacity, as would further measures to facilitate market entry in network industries.