LONDON (MNI) – The pace of UK economic growth decelerated in the
the three months through October, posting its weakest outturn since the
three months ending March, according to the National Institute of
Economic and Social Research.
NIESR’s projections showed GDP rose 0.5% in the three months ending
in October after posting 0.8% growth in the third quarter. With the
Office for Budget Responsibility putting UK trend growth at just over
2.25% over the next three years, NIESR’s latest estimates suggest growth
has slipped back to something close to, and probably below, trend.
The official data showed the UK recordingly surprisingly strong
1.2% growth in the second quarter and 0.8% in the third. The latest
NIESR data suggest the rate of growth eased at the start of the fourth
quarter.
NIESR originally estimated UK Q3 growth at just 0.5% in the three
months to September, but has since revised up this estimate in line
with the surprisingly strong official data.
In the NIESR series, 3-month growth turned positive in November
last year, with the fastest rate of growth since then, of 1.4%, seen in
the three months through May.
Recent NIESR data have shown a clear trend of decelerating growth.
In July, the three monthly growth stood at 1.2% but it fell back to 0.7%
in August, edged up to 0.8% in September and then dropped back to 0.5%
in October.
–London newsroom 4420 7862 7491; email: drobinson@marketnews.com
[TOPICS: MABDS$,M$B$$$]
