UK economic growth of 0.6% in the three months to June

According to the Office for National Statistics (ONS), output grew in the construction, manufacturing, services and agriculture sectors, which contributed to the estimated 0.6% growth to the economy in the three months to June. The growth rate was in line with market expectations, and was up from 0.3% growth in the previous quarter. This latest figure implies that the economy has now recouped almost half of its total 7.2% contraction during the 2008-09 recession, with output remaining 3.3% below its pre-recession peak. Despite the relatively strong figure, the rest of the year remains uncertain. The Chancellor George Osborne said the current figures showed the economy was “on the mend”, but his opposite number Ed Balls said families were still suffering due to wages failing to keep up with the increases in prices. The next inflation report on 7 August could potentially hold greater significance, which is when the Bank has said it will begin issuing “forward guidance” on how long it will keep interest rates at their current historic low of 0.5%. The contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article. Setfords Solicitors are a national full service law firm, with business law solicitors in Esher and across the country.