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GDP rises by 0.2% in second quarter


The UK economy has grown by 0.2 per cent in the second quarter of 2011, according to estimates from the Office for National Statistics.

The move follows an increase of 0.5 per cent in the first quarter of 2011. The ONS cited a number of bank holidays, the royal wedding and the Japanese tsunami as reasons for the slowdown in growth.

The ONS says: “It is not possible to state precisely what the net overall impact of these special effects might have been. Analysis that we have carried out indicates that Q2’s special events may have had a net downward impact on Q2 2011 GDP of 0.4 in the services sector and 0.1 in the production sector.”

The services sector grew by 0.5 per cent in the second quarter compared with 0.9% in the first while production output fell by 1.4 per cent compared to a smaller decrease of 0.1 per cent in the first quarter.

While construction fell by 3.4 per cent in the first quarter, the latest results show a increase of 0.5 per cent.

Government and other services reportedly demonstrated no growth.

Experts were warning that Chancellor George Osborne could face pressure to ease Government cuts if official growth figures fail to show signs of recovery.


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