UK Economy experienced a slight growth of 0.1% month-on-month in November 2024, recovering from consecutive contractions of 0.1% in both October and September. However, this growth fell short of the expected 0.2% increase, signaling a slower-than-anticipated recovery.

Services Sector Drives Growth

The services sector played a crucial role in UK Economy, contributing 0.1% to the overall growth. Notable gains were seen in accommodation and food services, which grew by 2%, as well as in computer programming and consultancy (1%) and telecommunications (1.2%). However, there was a decline in administrative and support service activities, particularly in rental and leasing services, which fell by 2.4%.

Construction and Production Sectors Show Mixed Results in UK Economy

The construction sector also showed positive growth, expanding by 0.4% in November. In contrast, the production sector faced challenges, contracting by 0.4%. This decline was driven by a 0.3% fall in manufacturing, with significant reductions in manufacturing and repair (-2.1%) and the production of basic pharmaceutical products and preparations (-1.9%). Additionally, other sectors like mining and quarrying (-1.5%) and water supply, sewerage, and waste management (-0.3%) also faced declines.

Read More : UK Consumer Confidence Index Drops

No Growth in GDP Over Three Months

Looking at the broader picture, the UK’s GDP showed no growth in the three months leading up to November when compared to the previous period. This indicates a period of stagnation, despite the positive movement in certain sectors, suggesting ongoing challenges for the economy as it faces global and domestic pressures.

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