Understand
UK economy grew by 0.1% in August ahead of Budget
Overview
According to the Office for National Statistics, the UK economy grew by 0.1% in August, outperforming analysts' expectations and following a 0.4% expansion in July. The growth was driven primarily by the production sector, while the services industry remained flat and the construction sector contracted. Over the three months to August, the economy grew by 0.7%, supported notably by computer programming.
Key points
- The UK economy expanded by 0.1% in August, beating analysts' forecasts.
- Growth in August was driven by the production sector, whereas services were flat and construction contracted.
- Over the three months to August, the economy grew by 0.7%, with computer programming as the largest contributor.
- The figures precede Chancellor John Healey's upcoming Budget and follow positive economic growth prospects from the IMF.