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- UK GDP grew slightly more than expected in Q1
UK GDP grew slightly more than expected in Q1
Office for National Statistics said that UK gross domestic product (GDP) in volume terms was estimated to have increased by 0.5% in Quarter 1 (Jan to Mar) 2019 having slowed to 0.2% growth in the previous quarter.
In comparison with the same quarter a year ago UK GDP increased by 1.8% to Quarter 1 (Jan to Mar) 2019; up from 1.4% in the previous period.
Growth in the services sector slowed to 0.3% in the latest quarter, while there was a noticeable pickup in growth in the production sector, driven by growth of 2.2% in manufacturing output.
Private consumption, government consumption and gross capital formation contributed positively, while net trade contributed negatively to GDP growth.
The trade deficit widened to 3.4% of nominal GDP in Quarter 1 2019; when unspecified goods are excluded, the deficit widened to 2.3% of nominal GDP – this figure gives a better indication of the underlying trade position.
Gross fixed capital formation increased by 2.1% in the latest quarter, with strong growth in government investment; business investment increased by 0.5% in Quarter 1 2019 following four quarters of contraction.
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