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UK economy grew 0.6% in last three months

Henry Brennan
Written By:
Henry Brennan
Posted:
Updated:
12/06/2013

The UK economy grew by 0.6% in the three months to the end of May, driven primarily by growth in the production and private services sectors.

The latest monthly estimate of GDP from the National Institute of Economic and Social Research (NIESR) suggested output rose by 0.6%, following growth of 1% in the three months ending April.

Excluding the estimate for April, which NIESR revised up from 0.8% to 1%, this latest reading represents the strongest estimate since September 2012 when it stood at 0.9%.

NIESR’s latest quarterly forecast projects growth of 0.9% per annum this year and 1.5% in 2014.

Looking ahead, the institute says the private services sector is likely to continue to drive growth for the remainder of 2013.

The period of depression is expected to continue for some time while output is not expected to pass the 2008 peak until 2015.

The British Chamber of Commerce recently upgraded its long-term growth forecast for the UK, and also predicts output to rise by 0.9% in 2013 having previously forecast 0.6% growth.