Zero growth for UK economy in late 2019

It has been revealed that the UK economy saw close to zero growth during the final quarter of 2019.

The car industry’s performance was particularly weak while the services sector – accounting for more than three quarters of the UK economy – grew just 0.1% in the final quarter. Meanwhile, the construction sector grew by 0.5% while the manufacturing sector saw output fall by 1.1% after the uncertainty surrounding whether Britain would or would not leave the European Union without a deal on 31st October.

However, recent surveys have suggested that the economy has picked up in the new year.

“It’s likely that political uncertainty and unwinding stockpiles caused the economy to flag at the end of last year,” said Chief Economist at the Institute of Directors, Tej Parikh.

“However, firms entered 2020 with more of a spring in their step. Confidence has shot up, while hiring plans and investment intentions have also risen a notch.”