View more on these topics

GDP rises by 0.2% in second quarter

Treasury.gif

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.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com