UK GDP beats expectations as it grows 0.1% in Nov
The UK economy unexpectedly grew by 0.1% in November as the World Cup helped boost restaurant and pub sales, according to the latest data from the Office for National Statistics (ONS).
It comes as analysts had predicted a fall of 0.3% for the month and has raised hopes that the UK may avoid falling into a recession.
The services sector grew by 0.2% in November 2022, after growth of 0.7% in October 2022 with the largest contributions coming from administrative and support service activities and information and communication.
Output in consumer-facing services grew by 0.4% in November 2022, following growth of 1.5% in October 2022. The largest contribution to growth came from food and beverage service activities in a month where the FIFA World Cup started.
Meanwhile, the ONS revealed production output decreased by 0.2% in November 2022, after a fall of 0.1% in October 2022; manufacturing was the main driver of negative production growth in November 2022, partially offset by a positive contribution from mining and quarrying.
The construction sector was also flat in November 2022 after growth of 0.4% in October 2022.
ONS director of Economic Statistics Darren Morgan said: “The economy grew a little in November with increases in telecommunications and computer programming helping to push the economy forward. Pubs and bars also did well as people went out to watch World Cup games.
“This was partially offset by further falls in some manufacturing industries, including the often-erratic pharmaceutical industry, as well as falls in transport and postal, partially due to the impact of strikes.”
He added: “Over the last three months, however, the economy still shrank – mainly due to the impact of the extra Bank Holiday for the Funeral of Her Majesty Queen Elizabeth in September.”