Slowdown in growth in the third quarter

LONDON (awp/afp) – UK growth slowed sharply to 1.3% in the third quarter. The sharp slowdown is particularly reflected in the shortage of goods and workers, combined with a rebound in COVID-19 cases due to the lifting of all health restrictions.

Thus gross domestic product (GDP) is slowing compared to the second quarter, when it reached 5.5% due to a gradual lifting from March of several months of imprisonment. However, that figure remains 2.1% below its level at the end of 2019, before the pandemic, notes the Office for National Statistics in a press release on Thursday.

In the middle of the summer season, the main sectors contributing to this growth were hotels and restaurants, arts and entertainment, and even health services, with vigorous household consumption. But Grant Fitzner of the ONS said on Twitter: “Business investment has been well below pre-pandemic for the three months ended September.”

“The trade deficit has also widened as exports of goods to countries outside the EU declined, while imports from countries outside the EU, particularly fuel, increased,” he said. The ONS is also seeing a decline in inventory, “perhaps reflecting some difficulties in the supply chain”.

“The economy continues to recover from Covid and thanks to programs such as partial unemployment”, a measure implemented in response to the pandemic and which expired at the end of September, “the unemployment rate has been falling for 8 months and we are planning Be the fastest growing G7 country this year,” said Economy Minister Rishi Sunak. However, he acknowledges that “we still have difficulties to overcome” as the world reopens.

See also  UK announces post-Brexit trade deal with New Zealand

Alpesh Paleja, Economist, CBI, Leading Employers Organisation, says, “It is encouraging to see that the economy remained dynamic in September, but it cannot be denied that with supply constraints, it was a tough quarter for companies. ” “The combination of rising COVID cases and shortage of materials, components and workers put a heavy burden on development,” he says.


You May Also Like

About the Author: Forrest Morton

Organizer. Zombie aficionado. Wannabe reader. Passionate writer. Twitter lover. Music scholar. Web expert.

Leave a Reply

Your email address will not be published. Required fields are marked *