Yes we are in a recession, but there is not much difference between growth of +0.1% and decline of -0.2%. The economy overall is basically flat. There are regional and sector differences.
If you visit London for example, you would not see much of a recession. All the restaurants and shops appear to be doing a roaring trade. I suppose this is down to the number of people that work/live there, as well as all the tourists. In other areas of the country they may be experiencing a totally different situation.
In regard to business it depends on what sector you are in and where you trade. If you do business around the world and not solely in Europe, then you may be doing well.
As for the economy it depends on what happens in Italy and Spain. If they run into worse problems, we could see a knock on effect around the Eurozone, which could be a disaster for the UK economy. The pound could increase in value making imports much more expensive and our exports uncompetitive. If that happens, we could see a lasting recession that could go on for many years.
Emigration to Australia or New Zealand must be tempting for some. ( Graeme, you could always mention to your bosses that you would be interested in setting up Moneysupermarket in Aus/NZ. ! )