UK economy posts surprise growth in November: data

UK economy posts surprise growth in November: data

Britain is battling a cost-of-living crisis
Britain is battling a cost-of-living crisis. Photo: CARLOS JASSO / AFP/File
Source: AFP

PAY ATTENTION: Celebrate South African innovators, leaders and trailblazers with us! Click to check out Women of Wonder 2022 by Briefly News!

Britain's economy unexpectedly grew in November, official data showed Friday, but it is widely tipped to enter recession this year as the country faces a cost-of-living crisis.

Gross domestic product added just 0.1 percent in the month, the Office for National Statistics (ONS) said in a statement, aided by the services sector and despite widespread strikes.

That followed expansion of 0.5 percent in October.

However, GDP shrank 0.3 percent in the three months to November compared with the three months to August.

"While the economy performed better than expected in November, the data can't mask the underlining problems in the UK economy," said economist Alpesh Paleja at the CBI business lobby.

"High inflation is severely impacting household budgets and businesses are facing intense cost pressures. As a result, consumer spending and investment plans are weakening.

Read also

UAE agrees to roll over Pakistan debt, add $1 billion more

PAY ATTENTION: Follow Briefly News on Twitter and never miss the hottest topics! Find us at @brieflyza!

"The question for the government now is not whether we will fall into recession, but how long and deep the recession will be."

UK inflation currently stands at 10.7 percent, the highest for about 40 years, as a result of supply constraints caused by Russia's invasion of Ukraine, the lifting of Covid lockdowns and Brexit fallout, according to economists.

Source: AFP

Authors:
AFP avatar

AFP AFP text, photo, graphic, audio or video material shall not be published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP news material may not be stored in whole or in part in a computer or otherwise except for personal and non-commercial use. AFP will not be held liable for any delays, inaccuracies, errors or omissions in any AFP news material or in transmission or delivery of all or any part thereof or for any damages whatsoever. As a newswire service, AFP does not obtain releases from subjects, individuals, groups or entities contained in its photographs, videos, graphics or quoted in its texts. Further, no clearance is obtained from the owners of any trademarks or copyrighted materials whose marks and materials are included in AFP material. Therefore you will be solely responsible for obtaining any and all necessary releases from whatever individuals and/or entities necessary for any uses of AFP material.