Markets
UK economy grows by 0.2% in Q2
Rob Langston, 26 July 2011
The Office for National Statistics (ONS) has revealed the UK economy grew by 0.2 per cent during the second quarter of the year.
Growth in GDP during the first quarter of 0.5 per cent, giving the UK total growth of 0.7 per cent in the first six months of the year.
According to the ONS, the output of production industries reduced GDP growth during the second quarter by 0.2 percentage points.
The slowdown in production industries growth was attributed to maintenance programmes in the North Sea and mild weather in April and May.
A fall in manufacturing output in April could have been affected by the royal wedding bank holiday and supply constraints as a result of the Japanese earthquake.
The government body also highlighted continued weakness in the retail sector, with sales volumes remaining flat over the past 12 months.
Ian McCafferty, chief economic adviser at business trade body CBI, said, 'This is the third consecutive quarter in which special factors, such as the winter weather, unseasonal North Sea maintenance, the Japanese tsunami and an extra bank holiday, have made interpretation of the data more difficult and have depressed economic activity over the short term.
'There is likely to be some bounce back over the autumn, but it's clear that the underlying economic recovery remains fragile and difficult.'
To receive more relevant articles like this one, why not sign up to our weekly newsletters, click here
Advertisement
Free Magazine: How To Invest For Income
Free Magazine: How To Invest For Income In this free edition of MarketViews, Peter Temple highlights key features that can make income-based investing generate such good results. Get your free copy here
Free Guide: 8 Common Trading Indicators
Get this free guide to find out how to use technical indicators to give you a sense of what the market will do next. Get your free copy here.
No hassle and no admin fees. Open an account now with The Share Centre. Find out more.
A free guide to Gold Investment
Physical Gold protects against global economic downturn by providing crucial portfolio balance. You can buy gold bars for your UK pension and receive up to 40% price discount via tax relief. Buy tax-free gold coins as an alternative to poor interest rates. Find out more and download this free guide to gold investment.
The TaxGuide.co.uk has a wealth of tips and advice from working out your tax bill, through to the latest personal tax rules. Get your personal tax tips today.
FREE Report: Inside Investment Trusts
Written by the team behind What Investment, this exclusive FREE report covers:
- Why Investment Trusts are better than Unit Trusts
- How new legislation is broadening the appeal of Investment Trusts
- Where to look for buying opportunities
- Why now is the time to buy Investment Trusts
- The Investment Trusts to invest in at the moment


Comments
Please register or login to comment on this article.