UK’s economy expands by 0.2 percent in August

(MENAFN) On Friday, the Office for National Statistics (ONS) announced that the UK's economy experienced a growth of 0.2 percent in August, rebounding from a stagnant performance in July. This slight increase indicates a gradual recovery in the economic landscape as the country navigates various challenges. The figures suggest a modest yet positive trend in economic activity, which could bolster confidence among consumers and businesses alike.

In terms of sector performance, the services output saw a marginal rise of 0.1 percent in August, mirroring the increase recorded in July. The professional, scientific, and technical activities sector emerged as the most significant contributor to this growth in services output, showcasing its crucial role in the broader economy. Meanwhile, the production output rebounded with a growth of 0.5 percent in August after a decline of 0.7 percent in July, further indicating a recovery in manufacturing and industrial activities.

Construction also showed signs of resilience, with output increasing by 0.4 percent in August, following a contraction of 0.4 percent in the previous month. This growth in construction activity could be indicative of ongoing investment in infrastructure and development projects, contributing positively to the overall economic performance. The combined growth in these sectors reflects a diversified recovery across different areas of the economy.

The ONS also highlighted that the real GDP is estimated to have grown by 0.2 percent over the three months leading up to August, compared to the previous three-month period ending in May. This three-month perspective provides a broader view of economic trends, suggesting a steadying of the economy after recent fluctuations. Overall, these figures represent a cautious optimism as the UK economy begins to show signs of improvement after a challenging period.

MENAFN13102024000045015839ID1108773983