• Prior +0.1%
• GDP +0.8% vs +0.9% y/y expected
• Prior +0.7%

The more detailed breakdown as per the following:

• Services +0.0% vs +0.2% m/m expected
• Prior +0.3% (revised to +0.2%)
• Industrial output -0.1% vs +0.2% m/m expected
• Prior -0.9%
• Manufacturing output +0.1% vs +0.2% m/m expected
• Prior -0.5%
• Construction output +0.2% vs 0.0% m/m expected
• Prior -0.5%

This is lower than expected and it doesn’t bode well for the UK economy if we start to see more weakness going forward. We’ve seen some downside in the pound as weakening growth coupled with higher inflation expectations and rate hike bets is an awful recipe.

The Director of Economic Statistics, Liz McKeown, said: “Growth ticked up slightly in the latest three months, partly reflecting the recovery of car manufacturing, following the cyber incident in the Autumn. Within services, which also increased, wholesale continued to rebound from a weak summer. However, the overall picture remains subdued, with no growth in the latest month. There was another large fall in the construction industry in the latest three months, with continued contraction in housebuilding.”