Source: Office for National Statistics
A slower 0.1% increase in UK GDP in October, signaling that the economy had flattened even before the Omicron COVID-19 variant. FTSE 100 down -0.040%, GBP USD down -0.11%
- Gross domestic product increased by a weaker than expected 0.1%, slowing significantly from monthly growth of 0.6% in September.
- That showed the economy remained 0.5% lower than the pre-pandemic level, just before the UK imposed its first COVID-19 restrictions.
- Britain’s economy recovered strongly earlier this year from its nearly 10% decline in 2020 when the pandemic emerged.
- Meanwhile, the rebound slowed down in recent months as supply chain constraints hampered manufacturers.
- October’s marginal growth was supported by a continued increase in doctors’ appointments in England, contributing to a 0.4% increase in output in UK’s dominant services sector.
- Industrial output dropped 0.6%, hampered by the significant decline in electricity and gas and in mining and quarrying.
- Construction dropped by the most sine pre-pandemic level, down by 1.8% from September also hampered by the shortage of supplies.