Latest GDP Statistics

Source: ONS

You can view the latest statistics on UK GDP by visiting the Office of National Statistics here

The latests statistics make for depressing reading, with evidence that the UK economy has now been in recession for 6 quarters, making it one of the longest recessions on record. The decline in output was 0.4%, less severe than at the start of the year, but, still bad news.

The continued recession means:

• Unemployment likely to continue to rise
• Higher government borrowing. Tax receipts will remain depressed, and welfare benefits will be higher.
• Prospect for Interest Rates to remain at 0.5% for the foreseeable future.
• Will keep downward pressure on Pound Sterling. This is because the length of the recession increases the likely hood of further quantitative easing (increasing money supply) and low interest rates.

More on Still in Recession and prospects for recovery