Fact Service (May 2013)

Issue 21

Growth for economy

The economy, as measured by gross domestic product (GDP), grew by 0.3% in the first quarter of 2013, unrevised from the preliminary estimate, according to the Office for National Statistics.

GDP increased by 0.6%, compared with the same quarter 2012.

In the first quarter of 2013, production output (manufacturing, mining and utilities) increased by 0.2% on the fourth quarter 2012, but it was down by 2.3% on the same quarter 2012.

Manufacturing output fell by 0.3% in the first quarter compared with the fourth quarter 2012 and was 2.1% down on the same quarter last year.

OECD

The UK economy is forecast to grow at 0.8% this year and 1.5% next year, despite the economy facing “strong headwinds”, according to the OECD organisation which represents 34 advanced economies. The growth forecast is much lower than the average for OECD 34 of 1.2% growth this year followed by 2.3% growth in 2014.

In the UK, the OECD said the government’s austerity plans had affected growth, but said the measures were “necessary” and warned that “further fiscal consolidation” was needed.

www.ons.gov.uk/ons/dcp171778_309646.pdf

www.oecd.org/economy/outlook/global-economy-advancing-but-pace-of-recovery-varies.htm

www.bbc.co.uk/news/business-22700029


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