- Gross domestic product showed no growth in the three quarters to the end of September, following a 0.2% increase in the previous quarter.
- British Chancellor of the Exchequer Jeremy Hunt said high inflation remained the country’s “single biggest barrier to economic growth”.
High-rise buildings in Canary Wharf financial, business and shopping district in London, UK.
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Initial figures on Friday showed the UK economy was flat in the third quarter.
Gross domestic product showed no quarterly growth in the three months to the end of September, following a 0.2% increase in the previous quarter. The UK’s third quarter gross domestic product (GDP) increased by 0.6% on an annualized basis compared to the same period in 2022.
Services sector production fell 0.1% sequentially, but the decline was offset by a 0.1% increase in construction performance, while manufacturing remained flat.
British Chancellor of the Exchequer Jeremy Hunt said high inflation remained the country’s “single biggest barrier to economic growth”, with the consumer price index in September at just 6.7% compared to the same month last year.
“Right now the best way to grow the economy sustainably is to stick to the plan and stop inflation,” Hunt said.
“The Autumn Statement will focus on how we can get our economy healthy again and deliver the growth our country needs by unlocking investment, putting people back to work and reforming public services. Masu.”
Lindsey James, investment strategist at Quilter Investors, said Friday’s data comes as leading indicators have increasingly shown in recent months, with cracks appearing in consumer spending and business activity, and labor demand also softening. It was confirmed that an economic slowdown is coming.
“September statistics provided a positive surprise thanks to the UK’s strong services sector, but were not enough to offset the negative print in July and generate any growth in the third quarter quarter-on-quarter. Although we have managed to avoid recession this year, today’s numbers of no growth mean the UK is not growing.”The economy is flat, with only 0 growth in the past six months. It was .2%. ” she said.
“Unfortunately, for many, the economic pain has only been postponed. The UK economy will continue to grow as the Bank of England said earlier this month that more than half of the impact on GDP levels from rising interest rates is yet to be felt. “We are facing headwinds to 2024 as we approach 2024. ”