This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/business/2023/apr/13/uk-economy-february-public-sector-strikes
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| UK economy flatlined in February amid impact of strikes | UK economy flatlined in February amid impact of strikes |
| (32 minutes later) | |
| Wave of public sector strikes and weak industrial output weigh take toll, official figures show | Wave of public sector strikes and weak industrial output weigh take toll, official figures show |
| Britain’s economy recorded growth of 0.0% in February as a wave of public sector strikes weighed on activity, offsetting a recovery in consumer spending despite the cost of living crisis. | |
| The latest figures from the Office for National Statistics show the economy ground to a halt in February, falling below City expectations for a 0.1% rise in gross domestic product (GDP) on the month. | |
| It follows growth of 0.4% in January, as revisions to earlier estimates pushed the economy back above pre-pandemic levels. | |
| The ONS said construction grew strongly after a poor start to the year with increased repair work taking place, alongside a boost from retail as many shops had a strong month for sales. | |
| However, it said this had been offset by civil service and teachers’ strikes, hitting activity in the public sector, while unseasonably mild weather led to a fall in the use of electricity and gas. Manufacturing showed zero growth, while the UK’s dominant services sector fell by 0.1%, down from a revised growth rate of 0.7% a month earlier. | However, it said this had been offset by civil service and teachers’ strikes, hitting activity in the public sector, while unseasonably mild weather led to a fall in the use of electricity and gas. Manufacturing showed zero growth, while the UK’s dominant services sector fell by 0.1%, down from a revised growth rate of 0.7% a month earlier. |
| The figures come hours after Jeremy Hunt insisted the UK would do “significantly better” than the International Monetary Fund’s forecast on Tuesday that the economy was expected to shrink by 0.3% this year. | |
| Speaking to Bloomberg News on the sidelines of the fund’s spring meetings in Washington on Wednesday night, he said: “We will do better than that.” | |
| Responding to Thursday’s ONS figures, the chancellor said: “The economic outlook is looking brighter than expected: GDP grew in the three months to February and we are set to avoid recession thanks to the steps we have taken.” | |
| Sign up to Business Today | Sign up to Business Today |
| Get set for the working day – we'll point you to all the business news and analysis you need every morning | Get set for the working day – we'll point you to all the business news and analysis you need every morning |
| after newsletter promotion | after newsletter promotion |
| Rachel Reeves, the shadow chancellor, said the figures showed the economy was inching along. “Despite our enormous promise and potential as a country, Britain is still lagging behind on the global stage with growth on the floor.” | Rachel Reeves, the shadow chancellor, said the figures showed the economy was inching along. “Despite our enormous promise and potential as a country, Britain is still lagging behind on the global stage with growth on the floor.” |