UK economy grows by 0.6%

UK GDP grew by 0.6 per cent in the second quarter of 2013, according to the latest quarterly national accounts from the Office for National Statistics (ONS).

UK GDP grew by 0.6 per cent in the second quarter of 2013, according to the latest quarterly national accounts from the Office for National Statistics (ONS).

The key points from the latest release from the ONS are:

  • Gross domestic product (GDP) increased by 0.6% in Q2 2013 compared with Q1 2013.

  • All four main industrial groupings within the economy (agriculture, production, construction and services) increased in Q2 2013 compared with Q1 2013.

  • The largest contribution to Q2 2013 GDP growth came from services; these industries increased by 0.6% contributing 0.48 percentage points to the 0.6% increase in GDP.

  • There was also an upward contribution (0.08 percentage points) from production; these industries rose by 0.6%, with manufacturing increasing by 0.4% following negative growth of 0.2% in Q1 2013.

  • In Q2 2013, output in the construction industry was estimated to have increased by 0.9% compared with Q1 2013. In Q1 2013 construction output was at its lowest level since Q1 2001.

  • Before the sharp fall in output in 2008 and 2009 the economy peaked in Q1 2008. From peak to trough the economy shrank by 7.2%. In Q2 2013, GDP was estimated to be 3.3% below the peak in Q1 2008.

  • GDP was 1.4% higher in Q2 2013 compared with the same quarter a year ago. Q2 2012 contained an extra bank holiday for the Queen’s Diamond Jubilee. Users should therefore show caution when interpreting the quarter on same quarter a year ago growth in Q2 2013.

  • The preliminary estimate of GDP is produced using the output approach to measuring GDP and is published less than four weeks after the end of the quarter to which it relates. At this stage the data content of this estimate is around 44% of the total required for the final output based estimate. This includes good information for the first two months of the quarter, with an estimate for the third month which takes account of early returns to the monthly business survey of 44,000 businesses (which typically has a response rate of between 30-50% at this point in time). The estimate is therefore subject to revisions as more data become available, but between the preliminary and third estimates of GDP, revisions are typically small (around 0.1 to 0.2 percentage points), with the frequency of upward and downward revisions broadly equal.

8 Responses to “UK economy grows by 0.6%”

  1. treborc1

    It’s growing this may well be small and little and mean little to most people, it’s placed Miliband and Ball’s in attack mode as the one thing MIliband and Ball’s did not want until the next election were signs it was working.

    Now Miliband and Ball’s cannot carry on hiding they have to come out with policies and idea, no good Miliband nodding now and agreeing with Cameron if he keeps doing that he’s going to be another of the leaders who come and go.

    Ball’s has started by attacking the Tories over the squeezed middle class not getting decent returns on wages, it would not be surprised to hear labour say we must hammer welfare to get money for the dearly beloved middle class who are now squeezed badly hence the £10,000 pay rise for MP’s who are deemed to be poor.

  2. Selohesra

    A modest bit of good news – I bet the two Eds & the BBC are gutted

  3. Kevin Leonard

    Whoopee do 0.6% growth with a margin of error +or- .2% so 0.4% actual if all is well what is more frustrating is the following…” From peak to trough the economy shrank by 7.2%. In Q2 2013, GDP was estimated to be 3.3% below the peak in Q1 2008.”
    Where they can extrapolate this figure from is beyond me at first until I remembered under Brown/Darling growth in the economy was actually 2.9% and climbing before Gideon got his hands on the books.
    My prediction is that the next Quarters figures will see growth @0.9% before dropping back to below 0.5% then 0.4% during the winter months when reality starts to bight over the disgusting way the sick poor and disabled are being culled by this coalition of disdain.

  4. Selohesra

    Brown managed pretend growth by huge public spending we are still struggling to pay back – yes we are still smaller economy than the peak but that just demonstrates how deep Labour’s recession was (no double dip remember so definitely Labour’s recession)

  5. Kevin Leonard

    £385 billion GIVEN to bankers pre 2010 a further £385 billion GIVEN to bankers since in Q.E. perhaps that has something to do with the amount of alleged Debt we are in I say alleged as the majority of debt owed is money which we the tax payers gave to the bankers in the first place.
    The whole of the financial sector within “The city” is built on a Ponzi scheme given succour by successive governments not until we rid ourselves of this vile succubus of a corruption will the poor sick and disabled be looked after to any degree of decency.

    It is time for change a complete change in my opinion starting with the top down re-organisation of Westminster, just as the money lenders were turfed out of the churches so too they need to be thrown out of government, A simple robin hood tax would be a start.

    Follow that up with a commitment to take RBS into public ownership and use it as a true peoples bank to drive down lending rates for the common man and business.

    Endorse a full capital system of lending for ALL banks to stop them creating money out of the push of a button as DEBT.

    I could say go one step further and press the re-set button clearing all debts as they did in Iceland and jailing the bankers responsible for the lies and fraudulent actions over the past 30 years.

  6. Cole

    Ball’s?

  7. Cole

    Ee, wasn’t the economy actually growing when Labour left office?

  8. Selohesra

    Any fool could create the illusion of growth for a shoprt while by throwing someone elses money at the problem – so Brown did

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