Labour Research January 2020


UK economic growth flatlining

The UK economy was flat in the three months to October, official figures show. 

Rolling three-month growth in gross domestic product (GDP) was flat in October, following growth of 0.3% in the third quarter of the year. 

Growth has been volatile over the last year, in part as a result of changes to the timing of activity in anticipation of the UK’s original planned departure from the EU at the end of March 2019.

A spokesperson for the Office for National Statistics said: “The UK economy saw no growth in the latest three months. 

“There were increases across the services sector, offset by falls in manufacturing with factories continuing the weak performance seen since April.

“Construction also declined across the last three months with a notable drop in house building and infrastructure in October.”

The production sector — manufacturing, mining and utilities — saw output fall by 0.7% in the three months to October, with widespread falls across several manufacturing industries.

The construction sector also saw shrinkage. It was down by 0.3% in the three months to October.

Growth in the services sector slowed in the three months to October 2019 to 0.2%, following growth of 0.4% in the three months to September.