British economy still facing uncertainty over Brexit

British economy still facing uncertainty over Brexit

Britain’s economy warmed up a little in the second quarter from its winter slowdown of early 2018

But there was no sign of an end to its stuttering performance ahead of Brexit next year.

The world’s fifth-biggest economy relied on the services industry for growth in the second quarter, despite signs that its households were under growing financial strain.

By contrast, manufacturers struggled and net trade dragged on growth as any boost from the pound’s post-Brexit vote fall faded away.

Gross domestic product expanded 0.4 percent in the April-June period after a 0.2 percent rise in the first quarter, as expected in a Reuters poll of economists, the Office for National Statistics said.

In annual terms, growth picked up only slightly to 1.3 percent in the second quarter after a nearly six-year low of 1.2 percent at the start of the year.

Sterling, shaken over the last week by growing talk of a no-deal Brexit, was little moved by the data which showed businesses remained reluctant to raise investment.

Published: by Radio NewsHub
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