UK economy grows faster than first estimated in Q1

28th Jun 2024 07:16

(Sharecast News) - The UK economy grew faster than first thought in the first three months of the year, according to data released on Friday by the Office for National Statistics.

Gross domestic product grew by 0.7% in the first quarter, up from an initial estimate of 0.6% growth.

This follows 0.1% and 0.3% contractions in the third and fourth quarters of last year, respectively.

The figures showed that the services sector expanded by 0.8%, up from an initial estimate of 0.7% growth. Meanwhile, production was up 0.6% in the first quarter, down from 0.8% initially estimated.

The construction sector contracted 0.6%.

Paul Dales, chief UK economist at Capital Economics, said the upward revision to Q1 GDP "suggests whoever is Prime Minister this time next week may benefit from the economic recovery being a bit stronger than our already above-consensus forecast".