ONS: UK economy experiences a notable slowdown
27 Jul 2017
The latest gross domestic product (GDP) statistics show growth of 0.3 per cent during the second quarter of 2017, as Britain’s economy posts its weakest six months of growth since 2012.
The Office for National Statistics (ONS) says that growth in the three months up to the end of June was driven by services, which expanded by 0.5 per cent (0.1 per cent growth in the first quarter of the year), while a weaker performance from construction and manufacturing pulled down overall growth.
Whilst the UK economy has experienced “a notable slowdown in the first half of this year”, says the ONS Head of National Accounts Darren Morgan, the data does however mark a slight improvement from the 0.2 per cent expansion in the previous quarter.
Rain Newton-Smith, Chartered Business Institute (CBI) Chief Economist, says: “Economic growth has remained sluggish in line with our expectations. We expect growth to remain lukewarm over the next couple of years, so providing businesses with certainty and stability has never been more important.
“A limited transition period as we leave the EU where the UK stays in the single market and a customs union until a final deal is in force, would help create a bridge to a new trading arrangement. It would give businesses the confidence they need to invest, expand and create jobs.”
At this time of economic uncertainly, it is essential that business owners maintain effective management of their company’s working capital. This will not only help to ensure you have the cashflow needed to survive and thrive, it will also expose any pressure points within the cash cycles, helping to boost efficiency and even save costs – all vital elements to survive and thrive in challenging times.
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Source: ONS - http://www.ons.gov.uk/