British economic growth is likely to remain "subdued" this year as the economy will largely be dependent upon the home market with major European markets still in recession, the Ernst & Young ITEM Club said in its latest Spring Forecast on Monday. The group slashed its gross domestic product growth forecast for the economy to 0.6 percent this year from 0.9 percent expansion forecast in January. Nevertheless, the Item Club said the economic activity will grow 1.9 percent in 2014 and 2.5 percent in 2015 as as world trade picks up and business spending recovers. "The UK's major European markets are still in recession and business confidence is taking time to recover from the trials and tribulations of the last few years," the report said. "This leaves the economy heavily dependent upon the home market this year." Though rebalancing of the economy is on hold until global markets improve, households are now in a position to provide some much needed momentum with real incomes growing again and the high saving ratio facilitating balance sheet repair. The report noted that the government's 'Help to Buy' scheme should trigger a sharp increase in house moves from their current low level in turn boosting housing-related spending and construction.