UK GDP annual growth confirmed at 1-year highStaff Writer | November 29, 2016
UK's gross domestic product expanded 2.3% year-on-year in the third quarter of 2016, accelerating from a 2.1% growth in the previous period.
Britain The strongest reading since Q2 2015
On the expenditure side, net external demand contributed positively, as exports advanced 4.1%, following a 3.1% gain in Q2; while imports grew at a slower 2.6%, after rising by 4.7% the previous period.
Gross fixed capital formation continued to grow (+1.2% from +1% in Q2), but business investment contracted (-1.6% from -0.8% in Q2).
Meanwhile, growth slowed for both household consumption (+2.6% from +3% in Q2) and government spending (+0.8% from +1.1%).
On the production side, the service industries expanded 3% (+2.7% in Q2), mainly boosted by distribution, hotels and restaurants (+5.2% from +5% in Q2), transport storage and communications (+4.2% from +2.5% in Q2); and government and other services (+1.9% from +1.5% in Q2).
Industrial production rose at a slower 1% (+1.6% in Q2), as growth slowed for: manufacturing (+0.5% from +1% in Q2). Construction edged up 0.1%, following a 0.4% gain in Q2. ■