UK economy beats expectations with November growth
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Loading... - muhammed mohammed
- 17 Jan 2023
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The UK economy unexpectedly grew in November, helped by a boost from the World Cup, official figures show.
The economy expanded by 0.1%, helped by demand for services in the tech sector and in spite of households being squeezed by rising prices.
The Office for National Statistics (ONS) said pubs and restaurants also boosted growth as people went out to watch the football.
But it is still unclear whether soaring costs will tip the UK into recession.
Although the November reading of gross domestic product - a measure of all the activity by businesses, the government and people in the UK - was much better than anticipated, the overall picture still suggests the economy is stagnating as food and energy bills go up and people cut back.
The November increase marks a slowdown from a 0.5% rise in October, which was largely as a result of a bounceback from businesses shuttering to mark Queen Elizabeth II's funeral in September.
Economists have suggested that the latest data makes it less clear whether the UK will have entered a recession at the end of last year.
A recession is defined as two three-month periods, or quarters, of shrinking economic output in a row.
When a country is in recession, it is a sign that its economy is doing badly. During a downturn, companies typically make less money and the number of people unemployed rises. Graduates and school leavers also find it harder to get their first job.
Between July and September, UK economic output shrank by 0.3%. Read More…
